HC Deb 12 January 2004 vol 416 cc515-6W
John Barrett

To ask the Chancellor of the Exchequer how many children are expected to benefit from child trust funds in Scotland in each of the next five years, broken down by(a) local authority area and (b) parliamentary constituency. [144822]

Ruth Kelly

All eligible children born since 1 September 2002 in families awarded child benefit will receive a child trust fund (CTF). Projected birth figures by local authority and parliamentary constituency are not available, although figures for actual births and numbers receiving child benefit are available in the Library of the House. Birth projections for the whole of Scotland, produced by the Government Actuary's Department, are as shown in the following table.

Birth projection (000s)
2003 52
2004 52
2005 51
2006 51
2007 51

Each of these children will be eligible for a child trust fund. Based on take-up of child benefit, it is estimated that virtually all children born will receive a CTF.

The CTF is intended to encourage parents and children to develop the savings habit. It will ensure that every child, whatever their family background, will have access at the age of 18 when they begin their adult life, to a stock of assets which they can invest in their future.

It will also help children and their parents to understand the benefits of saving and investment and how to engage with financial institutions.