Best place to keep money for a child?

[Solasum]

Hi all.

At the moment I have a couple of savings accounts and an ISA in my own name, including one which is earmarked now for things for the baby, which is an e-savings account, and though not great interest rate, not bad either.

Ideally I'd like some fund/account which I, and grandparents, can pay into as and when, to be used only for nursery costs in the first instance, then bigger purchases down the line, school trips etc. I need to be able to access the money in event of emergency though, so a Junior ISA is not appropriate. Can anyone recommend anything other than what I already have (i.e. a normal savings account that is mine, but intended for him)?

Many thanks

As it's really your money rather than the baby's money then the ISA is probably the best one to go for. (If you have a partner, of course, they also get an ISA allowance) If you're not going to need the bulk of the money for a year or two you could look at a fixed term ISA where the interest is a little better. But if you want instant access, you won't get much interest.

Ok, thank you. Shall ponder.

the baby has his own tax allowance, so you can open his own savings account and not pay tax unless he is a higher earner. :-) Last time I looked there was a junior account paying 6%, although only on a small amount.

Tax allowance only applies if the money didn't come from the parents. Otherwise it counts as theirs.