Child Trust Fund proposals risk damaging a scheme with real potential to improve children’s futures

Commenting on yesterday’s announcement by the Conservative Party about Child Trust Funds, John Reeve, Chief Executive of Family Investments, said:

“It is disappointing that in the understandable desire to cut government expenditure we may end up losing a scheme which has the potential to really make a difference to young people’s future. Child Trust Funds were designed to provide all children with a financial asset when they turned 18 which would provide them with a real head start in life.

“In an age when we need to be encouraging a savings culture amongst the young, it would be a shame to remove one of the tools most likely to achieve this and the personal responsibility and improved financial awareness that goes with it.

““Yes the Child Trust Fund (CTF) scheme can be improved but this does not mean it should be scrapped for the majority of children. Under the Conservative proposals households earning under £17,000 and families of disabled children will be the only ones eligible for a CTF. It will not therefore just be the super-rich who lose this benefit; it will be millions of children from average hardworking families.”

For further information or an interview with John Reeve, please contact

Matt Battersby
Hill & Knowlton
020 7973 5947
mbattersby@hillandknowlton.com

About Family Investments

• Family Investments is the trusted supplier of financial solutions for the family
• Family Investments currently looks after around £1.8 billion of family money for over 1m people in the UK
• Family Investments is a mutual with over 30 years experience providing investments for families. We are owned by our customers which means that we are directly answerable to them
• Family Investments is the UK’s favourite Child Trust Fund provider with more than 700,000 Child Trust Fund accounts
• Our expertise is widely trusted and recognised, which is why we’ve been chosen to provide the Child Trust Funds of these high street names; Abbey, Barclays Bank, Post Office, Sainsbury’s Bank, Yorkshire Bank, Bradford and Bingley, Clydesdale Bank, Coventry Building Society, Early Learning Centre, Northern Bank and Skipton Building Society and additionally provide Post Office ISAs
• Family Investments is the trading name of Family Assurance Friendly Society and is authorised and regulated by the Financial Services Authority

 

Back to the Press Office