Nationwide Children Savings Scheme Launched
A new savings scheme for children was officially launched yesterday by the Government. The scheme will see 2 million vouchers issued over the next few days to parents on behalf of all children born after September 1st 2002. The initial vouchers are worth at least £250, with those from low-income families receiving an additional £250.
The money must be invested into a Child Trust Fund - a tax-free savings account which will not be accessible until the child turns 18. Family and friends will be able to contribute up to £1,200 a year to the account. The Government also promises a further payment of £250 on the child's seventh birthday.
Information packs will be sent out to nearly 2 million families this week to raise awareness of the scheme. The list of 75 official providers and distributors for the CTF was announced yesterday by Chancellor Gordon Brown. Mr Brown said: "The Child Trust Fund is designed to ensure that every child in our country has assets and wealth and that no child is left out and all children in Britain have a stake in the wealth of the nation."
For more information about this scheme, including details of official providers, please see The Child Trust Fund website at www.childtrustfund.gov.uk