The Conservatives risk alienating middle England with their proposals to scrap the Child Trust Fund.

26 October 2009

86% OF BRITISH PARENTS ARE UNHAPPY ABOUT PLANS TO SCRAP THE CHILD TRUST FUND for all but the very poorest and most disadvantaged parents, a new poll has revealed.

The survey, by earn-as-you-shop website KidStart, found that 86%* of parents disagree with Shadow Chancellor George Osborne's plans to means test the CTF.

Under the current system, introduced by Labour in April 2003, parents get £250 to put in trust (or £500 if household income is less than £16,040) on the day their child is born, and again on their seventh birthday.The Tories want to end all new payments to families earning more than £16,040 a year in an effort to help slash the national debt - meaning that around two thirds of British households would no longer be eligible for the scheme.

'The Child Trust Fund is a brilliant way of encouraging ALL parents to save for their childrens' future,' said Clare Scott Dryden of KidStart.

'The majority of families in Britain earn over the £16,040 threshold. Scrapping the scheme for those households will mean a whole generation will grow up without the benefit of something which gives them such a great start in life.'Our survey results show that many of our members are unhappy about these proposals which I am sure is reflected across the country.' KidStart

*565 parents expressed their views - 86% of parents were in favour of keeping CTF payments with only 14% in favour of scrapping CTF payments.



 

About KidStart
Launched in 2008, www.kidstart.co.uk is a free shopping club that rewards families with money for their children whenever they shop at a wide range of retailers and service companies. KidStart offers money back on online purchases at over 350 big-brand retailers, from Mothercare and Argos through to Boden and Debenhams, meaning you can do virtually all of your online shopping through KidStart. In addition, families can earn cash savings for their kids at over 250 High Street locations by shopping at any JoJo Maman Bébé, Goldsmiths and other retailers. KidStart is not a typical loyalty programme. There are no points, no membership cards, no hassle, no catches, and no hidden charges. Just cash, for kids, for free - it's simple.

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