Policy paper

Child Trust Funds and Junior Individual Savings Account: account transfers, management of accounts and ‘lifestyling’ of stakeholder CTFs

This Tax Information and Impact Note describes the increased choice in relation to children’s savings and the simplification of processes around Child Trust Fund account management and transfer.

Documents

Details

These measures increase the choice available in relation to children’s savings. They enable savings held in a Child Trust Fund (CTF) to be transferred to a Junior Individual Savings Account (ISA), and allow a CTF account holder who has reached 16 to choose whether to manage and give instructions in relation to their own account, or whether this role should continue to be performed on their behalf by a parent.

The measures also simplify the bulk transfer process for CTFs and Junior ISAs and defer the requirement on account providers to commence ‘lifestyling’ the stakeholder CTFs they offer, pending further consultation on this account feature.

Published 31 October 2014