New proposals by the Treasury would create a tax-free savings account for saving for children, similar to the Child Trust Fund scheme, but minus government contributions.
The new savings account would facilitate investment for children, with a ban on withdrawing funds until the child turns 18, both cash and stocks and shares accounts, maximum annual contributions, and tax-free returns on your children’s investment.
The proposals have been quietly welcomed by savings account providers, who had praised the Child Trust Fund scheme as the best option for saving for children in the country’s history.
