The Children’s Saver accounts both pay 2.00% gross per annum and can be opened with a minimum of £1.

The difference is that one of the accounts can be opened by a child in their sole name so they can save into it directly. Here, the child would be able to operate the account from the age of eight.

With the other account, it’s opened as a trust account by a parent or close family member where money is held by them on behalf of the youngster.

They can only access the money when they reach the age of 18 (16 in Scotland) and the account will transfer to an adult easy access account after.

For both accounts, the maximum amount that can be deposited is £50,000 and withdrawals are allowed.

A guide to choosing a children’s savings account

Kris Brewster, Skipton’s head of products, said: “These accounts have been designed to help provide customers with a choice about how they wish to save for their children.

“At Skipton, we understand the importance of putting savings in place for a child’s future, which is why we offer a range of products to suit different circumstances and savings goals. From the new Children’s Savers account, which allows young people to start saving from as little as £1, to our Junior Cash ISA which allows your child to invest tax-free, we have a children’s saving account to suit your needs.”

Brewster added that Skipton encourages investing on behalf of a child or to help them plan for their future, as soon as possible.