There are lots of myths about what scouts can and can't use/carry in the way of knives. So much so I was asked to write an article for it in the Scout magazine a while ago!
The official word is quite grey, but basically scouts are no longer allowed to carry a knife (doesn't say whether it is fixed, folding or lock) to a normal meeting or on camp unless the leaders have given them prior permissioon to do so on account of them needing to use it for specific tasks (such as food prep or shelter building, etc)
It used to be part of the rules that a knife was worn on teh belt as part of the uniform. Now it is that a knife should not be carried unless it is needed and permission has been given. But it is still a part of teh scouting life. They still have plenty of badges ot work for that require the use of a knife, axe, saw, etc
Whether individual groups allow the scouts to own or use particular types of knife is down to those leaders. Some may be happy with the kids carrying a street legal pocket knife to meetings (as long as they are not flashing it around then I would because they are not breaking the law and the Offcicial Regs just say "knife", which I take to mean a fixed blade as that does have a legal implication for carrying it)
My scout group have just finished making their very own knives and while I'm not letting them bring them along to meetings, I will find plenty of good reasons for them to use them. that way they become mundain objects not something excitnig to flash about.