Child Trust Fund Axed

antijoke

antijoke

antijoke

Caporegime
Joined
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So George Osborne has announced that by January 2011 the CTF will be axed along with the top-up payments that go with them.

So what are the thoughts of the people? I am aware the vast majority of people here may well feel this a good thing and a waste of money, but it would be interesting to hear the thoughts of people who have just recently had babies and what they think to it or from people expecting around or after the period it ends?

Having had two in the past I am not 100% sure it's a worth while cause, yes £250 for when they turn 18 is nice, but I am sure the money given could be put to better uses moving forward.

I wonder if the payments of upto £1,200 per year will still be unaffected by tax like the current rules.
 
great waste of money. even with interest it is worth nothing when you are 18. Very few parents will put into it regularly, unless they were going to do it anyway.
 
Agree that it's a big waste of money. The idea that 18 year olds are going to decide to anything particularly worthwhile or useful with a random £250 doesn't match reality. They should be encourage to get a part-time job and earn their own money.

The idea behind this seems to be that it might "encourage a saving culture" - goodness knows how giving people free money was ever supposed to do that.
 
For those of us who used it, i.e. pay into it regular, and add Xmas and Birthday money it was handy, but I would have opened an account for my kids anyway. The payments were £250 at birth, 7 and 18, so it was £750 total.
 
I liked the idea of Child Trust Funds but, in practice, the people who benefited most were the people who'd have set up funds for their kids anyway. Not a great use of public money, really.
 
Good idea, poorly implemented. Take up was pretty low as well wasn't it? (certainly compared with child benefit:rolleyes:)

As has been said by others, I was alwasys going to open an account for my kids and make regualr payments so this is just a little free money top up which is nice but not necessary
 
I have two kids and another on the way - I think the CTF was/is a waste of money.

It doesn't help child poverty (because they cannot use it until 18) and the interest rates on the savings isn't very good either. Better to open an ordinary savings account imo.
 
D1ngd0ng said:
Good idea, poorly implemented. Take up was pretty low as well wasn't it? (certainly compared with child benefit:rolleyes:)

As has been said by others, I was alwasys going to open an account for my kids and make regualr payments so this is just a little free money top up which is nice but not necessary
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this
 
There comes a point where all these handouts are going to have be cut down.

When I started 6th form 'EMA' was introduced, so some people got £30 a week plus termly £100 bonuses to spend on beer, driving lessons, cigarettes and weed.
 
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mglover070588 said:
There comes a point where all these handouts are going to have be cut down.

When I started 6th form 'EMA' was introduced, so some people got £30 a week plus termly £100 bonuses to spend on beer, driving lessons, cigarettes and weed.
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Wow I had no idea the EMA was worth that much! I assumed It'd be a fiver a month or something... sounds like a big waste of money.
 
Poor idea really. Would have made more sense if they'd matched savings made for your kids upto the £250 as at least then people are encouraged to put the money away themselves but as said, it really only benefited those people who would have put money away anyway...
 
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