Child Trust Funds
As parents begin to feel the pinch of Government cuts, new research from M&S Money reveals that grandparents in the UK are providing more than £6000 of support to grandchildren. Over the first 18 years of each grandchild’s life, grandparents gift on average £6165 in either money or presents.
The announcement of the engagement of Prince William and Kate Middleton has brought wedding costs into the spotlight, with some estimates that the event next year could cost upwards of £50m.
While many parents are working to educate their children, new research from M&S Money on over 3,000 under 18s suggests that some teens (14 - 18 years old) are not being given basic help on money matters by their parents.
Children (8 - 13 year olds) are more likely to want to ‘serve and protect' than see their name up in lights when it comes to future career aspirations, according to research from M&S Money.
Financial Secretary to the Treasury, Mark Hoban, has announced that the Government will create a new tax free children's savings account. The new account, described as a ‘Junior ISA', will offer parents a simple and tax free way to save for their child's future.
Family Investments, the nation's largest Child Trust Fund (CTF) provider, last week won the Best Child Trust Fund Provider category at the 2010 Investment Life & Pensions Moneyfacts awards.
The monthly cost of being a student has risen 28 per cent since 2004, according to analysis by Family Investments, a leading children's saving provider. Full time students now face total living costs of £718 up from £561 in 2004.
Contributions to Child Trust Funds have continued to increase - according to the latest quarterly statistics from TISA - despite the government announcement that children born after the end of this year will not qualify for an account.
The value of Child Trust Fund (CTF) vouchers will fall from £250 to £50 as of the 1st August 2011, and the second £250 payment to children on their seventh birthday will also cease from this date.
George Ladds, head of savings and investments research at Fair Investment Company comments on The Children's Mutual's decision to stop taking new business to all but its most basic Child Trust Fund Account and urges the Government to offer alternative options:
Following the coalition Government's decision to stop Child Trust Fund accounts being opened from January 2011, Shelagh Hamer, pension specialist at NFU Mutual, explains why pensions could be a good alternative for investing in a child's future.
The phased withdrawal of Child Trust Fund vouchers announced this week by the new coalition Government needs to be reconsidered, according to F&C's Head of Corporate Affairs, Jason Hollands.
The AIC has called on the Government to allow new parents the option to set up and contribute to Child Trust Funds even after Government contributions have been phased out. This would have no significant impact on tax revenues, but would encourage new parents to save for their children's future.
Parents of 18 to 30-year-olds are warning families of younger children to start saving now to fund the future, with nearly a third (28 per cent) saying that they have either remortgaged or are planning to remortgage to fund their child's adulthood.
Gavin Oldham, chief executive of The Share Centre, comments on this week's announcement to axe the Child Trust Fund.
16 to 30 of 192 for Child Trust Funds