Savings group welcomes CTF announcement
22/03/2007
Children's savings provider The Children's Mutual has responded positively to chancellor Gordon Brown's Budget announcement that youngsters in care will receive £100 more per annum into their child trust fund (CTF).
A child who has been in care since birth would therefore be able to activate a CTF worth £5,180 at the age of 18, according to David White, chief executive of the organisation.
Money saved in this way could be put towards the cost of a vocational training course, learning to drive or buying a first car, Mr White states.
Such measures for theses kids will come into effect from April 1st this year, the chancellor revealed yesterday.
"The child trust fund is already changing the nation's savings habits and we are delighted by this news which will help children from all walks of life reach 18 with a financial asset to their name," said Mr White.
"We look forward to hearing more about the Schools Money Week as the concept is further developed."
Following the Budget, benefit for a first child will increase from £17.45 a week to £20 a week in three years time.
A child who has been in care since birth would therefore be able to activate a CTF worth £5,180 at the age of 18, according to David White, chief executive of the organisation.
Money saved in this way could be put towards the cost of a vocational training course, learning to drive or buying a first car, Mr White states.
Such measures for theses kids will come into effect from April 1st this year, the chancellor revealed yesterday.
"The child trust fund is already changing the nation's savings habits and we are delighted by this news which will help children from all walks of life reach 18 with a financial asset to their name," said Mr White.
"We look forward to hearing more about the Schools Money Week as the concept is further developed."
Following the Budget, benefit for a first child will increase from £17.45 a week to £20 a week in three years time.
