The Children's Mutual said it was pleased with parents setting up Child Trust Funds (CTFs).
It said that take-up of CTF accounts has been encouraging, contradicting reports that the uptake was slow.
Children's Mutual, the only British provider specialising exclusively in long-term savings for children feels that this proves parents' understanding of the importance of long-term savings for their kids.
"Until this year only one in five parents were saving regularly for their children," commented David White, the chief executive of the Children's Mutual.
"As of now, a third of parents of children born from September 2002 have set up their CTF accounts," he said, adding that in any other market the speed at which the uptake of CTF is happening would be considered "utterly phenomenal".
With the CTF scheme running for just eight weeks, Mr White called the 30 per cent uptake "unprecedented".
He also stated that if one considers the pressure on parents as well as time constraints imposed because of busy lifestyles, it is far from surprising that not all of them have invested money yet.
Mr White emphasised that Children's Mutual is not discouraged by the statistics.
CTF is a new government savings initiative. A CTF account will be set up for every child born from 1 September 2002 and is kick-started with an initial government payment of at least £250.
Children's Mutual has made a significant contribution to this scheme.
Children's Mutual "not discouraged" by CTF figures
Children's Mutual "not discouraged" by CTF figures
Fri, 03 Jun 2005
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