UK parents worry about teens squandering savings at 18

A financial expert is sharing strategies for parents worried about their children mismanaging savings when they turn 18. Many parents in the UK face this concern as their children prepare to access money saved in Junior ISAs or Child Trust Funds. The article highlights how a parent, Rosie Murray-West, plans to manage her daughter Daisy's funds. Daisy is about to turn 18 and has a significant amount saved, partly due to government contributions. This has become a common situation for young adults who received financial help when they were younger. Experts point out that many young people feel tempted to spend their savings quickly. Data shows that in the first year of accessing their Junior ISAs, 42% withdraw a substantial amount, but many also continue to save. To help Daisy manage her savings wisely, her parents plan to guide her to withdraw a manageable sum each year and invest it in a Lifetime ISA for additional government benefits. The article emphasizes the importance of parents having open conversations about money. They should encourage their children to think about their financial goals instead of just treating their savings as "free money." Daisy shares that she feels informed about her savings and understands their importance for her future. Overall, the focus is on building financial confidence and making informed decisions about money management as young adults step into independence.