The next Budget will release details of the Government's Child Trust Fund. The final details are yet to be disclosed but a general overview is available.
A Trust Fund will be set up by the Government for every child born in the UK from a certain date. The Treasury will pay into each Trust Fund at the start and then make further payments at possibly age five, eleven and sixteen. It is thought that individuals will also be allowed to make payments into these Trust Funds.
The idea is for each eligible child to reach age 18 with a fund of around £10,000 including growth over the years.
Treasury Financial Secretary, Ruth Kelly spoke at the Labour conference in Blackpool about these Trust Funds. She said, "Everybody should have a child trust fund but the poorest families should have the most put in it both at the beginning and at stages".
For a free copy of our factsheet on current Childrens Savings Plans, contact us.