UK Parliament / Open data

Child Trust Funds

Proceeding contribution from Mike Freer (Conservative) in the House of Commons on Tuesday, 19 March 2024. It occurred during Backbench debate on Child Trust Funds.

The shadow Minister pre-empts me. This is a regular communication strategy: TISA will continue to notify those who are heading towards maturity of what they need to do to access the fund once they turn 18.

I have also been working with the Department for Work and Pensions on accessing its client bank. We have agreed with the DWP that we will contact the cohort of parents and carers who receive personal independence payments and who may lack the mental capacity to access their child trust fund. We have an agreement in principle that we will do a mailing—not a one-off, but a constant mailing—so that people in this cohort, which we think is particularly relevant to child trust funds and difficulties of access, will become aware in advance of what they need to do. One of the big messages from the consultation was about the lack of understanding and knowledge of the steps until it was too late.

I appreciate that hon. Members have said, “Give them the money.” I get that. As I mentioned at the start of my speech, the vast majority of parents act in the very best interests of the child. I am not a parent, so I cannot possibly understand the role of a parent having to juggle all the demands of everyday life while having a child who needs additional support. I accept that my knowledge is limited, but the risk of just one parent not acting in their child’s best interests, but accessing those funds inappropriately, weighs very heavily on me.

I accept all the points about proportionality, and I am happy to have a conversation about where the line on risk is drawn. Broadly speaking, where I am coming from is improving education, improving access and improving knowledge, but I cannot in all good conscience say that I am going to throw open the accounts and give unfettered access without some checks and safeguards to ensure that the very small minority do not have the ability to abuse a young adult. However, I will commit to following through with colleagues at the DWP to see whether there is anything we can do to copy or piggyback on their approach and make the system more accessible.

6.10 pm

About this proceeding contribution

Reference

747 cc306-7WH 

Session

2023-24

Chamber / Committee

Westminster Hall
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