It's officially the Easter season – and for many, this time of year brings to mind buttery hot-cross buns, Morris dancing, and egg hunts with your children and grandchildren.

But if you want to give the children in your family something more substantial this Easter, you could consider building them a financial nest egg as well as a tasty basket of chocolate treats.

Keep reading to discover three different nest eggs you can create on a child’s behalf this April.

A Junior ISA could build a six-figure nest egg with tax-free interest

You can use a Junior ISA (JISA) to build tax-efficient wealth for your child until they turn 18.

Returns made within JISAs – and ISAs in general – benefit from being free from Income Tax, Dividend Tax, and Capital Gains Tax (CGT), meaning that the interest earned on these accounts remains largely untouched.

There are two types of JISAs you can set up:

• Cash JISA – Similar to a savings account, where cash contributions benefit from fixed or variable interest rates.
• Stocks and Shares JISA – You invest contributions, which could give your child more growth over the long term, but there is also greater risk as the value of their savings can go up and down.

You can open one or both of these JISAs and, between them, contribute up to the annual limit before losing tax-efficiency, which is fixed at £9,000 for 2025/26 and 2026/27 (the limit resets every new tax year).

If you set up a Junior ISA early enough, your child or grandchild could have a substantial pot by the time they turn 18. 

For example, if you set up a Cash Junior ISA with a fixed interest of 5% on your child’s 5th birthday and contributed £9,000 each tax year, this pot could be worth around £165,017 by the time they’re 18. [1]
 
Only a parent or guardian can open a Junior ISA on a child’s behalf, but grandparents can still regularly contribute.

Kickstart their retirement by opening a junior self-invested personal pension

Although it might feel too soon to think about a child’s retirement, you could boost their retirement options significantly by opening a child pension on their behalf.

One option is a junior self-invested personal pension (Junior SIPP), which, much like its adult counterpart, benefits from pension tax relief on contributions up to £2,880 – the government adds a further 20%, raising the maximum available pension contributions to £3,600 each tax year.

If you contributed the maximum amount to the child’s Junior SIPP every year from birth until they turned 18, it could build a pension pot worth around £420,000 by age 60. [2]
 
This could help them retire earlier and live a comfortable lifestyle. Plus, it could reduce the burden of pension contributions during their working life.

It's important to note that they’ll only be able to access this pension once they turn 57 (possibly even later), which could restrict their financial freedom until they retire.

Remember, pensions are investments, so there is inherent risk involved, and their value can go up or down.

Premium Bonds offer the chance to win up to £1 million

A more exciting option for your loved one’s nest egg could be a Premium Bond.

You can gift a Premium Bond to anyone under 16, and like a JISA or junior pension, you can contribute to them regularly.

What makes Premium Bonds different is that they include regular prize draws with a chance to win between £25 and £1 million in tax-free cash.

Premium Bonds are an investment product available from National Savings and Investments (NS&I), which is Treasury-backed and 100% secure.

However, rewards entirely rely on winning prize draws. If you don’t win at all, your returns solely rely on the pot’s interest rates, which don’t tend to outpace inflation and could end up losing you money. In March 2026, Premium Bonds benefit from an interest rate currently fixed at 3.6%. [3]

Get in touch

If you’d like to explore these nest egg options and discover which is right for you and your family, please email [email protected] or call us on 0800 048 0150.

Please note
The information contained in this article is based on the opinion of Titan Wealth Planning and does not constitute financial advice or a recommendation for any investment or retirement strategy.
This article is for general information only and does not constitute advice. The information is aimed at individuals only.
All information is correct at the time of writing and is subject to change in the future.

A pension is a long-term investment not normally accessible until 55 (57 from April 2028). The fund value may fluctuate and can go down, which would have an impact on the level of pension benefits available. Past performance is not a reliable indicator of future performance.
 
The tax implications of pension withdrawals will be based on your individual circumstances. Thresholds, percentage rates, and tax legislation may change in subsequent Finance Acts.
 
The value of your investments (and any income from them) can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance. 

Investments should be considered over the longer term and should fit in with your overall attitude to risk and financial circumstances.

The Financial Conduct Authority does not regulate NS&I products.