View more on these topics

Government launches consultation on transferring CTFs to Jisas

George Osborne

The Government is consulting on allowing savings to be transferred from Child Trust Funds to Junior Isas.

Closing on 6 August, the consultation will examine whether such transfers should be allowed to take place and sets out the Government’s proposal on how they should be carried out.

The move follows the announcement by chancellor George Osborne in this year’s Budget speech that the Government will consider the position of existing CTFs. Children born between 2002 and 2011 still contribute into their CTFs, although the funds were abolished in 2011 and replaced with Jisas.

According to the consultation document, the Government acknowledges that “in the interest of fairness”, children with CTFs should not be prohibited from holding a Jisa if this better suits their long-term interests.

It adds: “The Government wants to support parents by ensuring that there continues to be a clear, simple and attractive way to save for children. Now that the Junior Isa is an established saving brand for children, it believes that there is a case for considering the position of existing CTFs.”

Among the issues examined in the consultation are whether “registered contacts” for a CTF account would be able to choose between a CTF and Jisa or if a better approach would be to merge all CTFs into Jisas.

The Government prefers the first option.

The CTF currently runs more than £4.8bn spread across over 6m accounts offered by around 70 providers.


News and expert analysis straight to your inbox

Sign up


There is one comment at the moment, we would love to hear your opinion too.

  1. Duncan Carter 14th May 2013 at 2:43 pm

    A consultation? Why not just do it as it makes perfect sense, or would that not allow several mandarins to rake in a few more tens of thousands?

    My head was hurting the other day so I stopped banging it against the wall. Guess what, it stopped hurting after a while!

Leave a comment


Why register with Money Marketing ?

Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

News & analysis delivered directly to your inbox
Register today to receive our range of news alerts including daily and weekly briefings

Money Marketing Events
Be the first to hear about our industry leading conferences, awards, roundtables and more.

Research and insight
Take part in and see the results of Money Marketing's flagship investigations into industry trends.

Have your say
Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

Register now

Having problems?

Contact us on +44 (0)20 7292 3712

Lines are open Monday to Friday 9:00am -5.00pm