Children's stakeholder pensions one solution to pension apathy

With news that a quarter of pensioners say they are forced to live cautiously to meet day-to-day expenses, and rapidly rising numbers of older home owners releasing equity from their property to pay off debts and expenses, children's stakeholder pensions present an opportunity to ensure your child is taken care of in their later years.

The child savings market has become of increasing importance in light of recent austerity measures, which has seen the scrapping of the Child Trust Fund and near trebling of tuition fees. Additionally, there have been growing fears of a pension time bomb for Britain, due to increasing life expectancy, a crisis the children's stakeholder pensions which are being offered by an increasing number of providers hopes to address.

Children's stakeholder pensions offer a tax-free way of saving for your child, and with the money accessible only at 55, its long-term nature increases the growth potential of your savings, meaning your child could be taken care of with a substantial retirement fund when they grow older. Providers such as Virgin Money offer the stakeholder pensions tailored specifically for children, and for many, the children's pension is an attractive alternative to the Child Trust Fund or other children's savings accounts, which have recently come under fire for offering derisory rates of return.

Natasha Terbraak of MyEggNest.com, the UK's leading independent children's savings website, said: "Concerns that many people will retire without an adequate pension fund are growing, especially in light of a stark rise in the cost of living for pensioners, which has rendered the state pension far from a sufficient income for a comfortable retirement lifestyle.

"Opening a stakeholder pension for your child will ensure they have a personal pension to supplement their state income, and relieve them of the responsibility of having to open up their own fund to save for retirement."

www.MyEggNest.com is a free online resource for parents, providing full information on children's savings accounts, Child Trust Funds and all aspects of family finance. The site includes performance comparison tables, and the widest selection of Child Trust Fund and child savings account reviews in the UK.

Notes for editors

www.MyEggNest.com