A deposit for your son or daughter’s first flat
Put away £650 a year and picture your child unlocking the door to their first home, stepping into a space of their very own. With the help of your financial plan, your £13,007 could grow to around £18,000 in 20 years. Independence at last…until the boiler breaks down.
The small print
Just to be clear: we’re not actually selling this product! This shop is simply a fun way to show the potential of long-term investing.
Here’s the important part to remember: when you invest, your money is at risk. It can grow, but it can also go down, and there’s no guarantee you’ll get back more than you put in. We're not recommending any particular investment products here.
The original, “non-discounted price” represents the projected value of your investments by 2044. It’s what this product or experience would cost you to buy in the future. These values are shown in “today’s money,” meaning they’ve been adjusted to account for future inflation.
The "discounted price" is the annual amount you’d need to invest over 20 years to reach that final value. When you add up all your contributions over those 20 years, it will always be less than the "non-discounted" price. That’s because the growth of your investments bridges the gap – giving you the final value for “28% off.”
This calculation is based on the following assumptions:
- Investment growth of 6% per year
- Investment fees of 1% per year
- 2% annual inflation
- You make one contribution a year for 20 years, starting in 2024
