Jul 1 2008
Calls have been made for relevant policymakers to offer a greater degree of clarity to parents considering engaging with a child trust fund (CTF).
According to the Family Investments company, the CTF system should be simplified in a manner that removes the "burden of choice" and leaves parents with only one CTF option.
The firm insists that parents would be more likely to contribute to CTFs on behalf of their children in the long-term if they understood that the stakeholder version was their only option when it comes to child saving.
Miles Bingham, head of savings at Family Investments, said: "This action will remove the burden of choice and make the scheme more attractive to busy parents and for those people who struggle to understand the relatively complex options out in front of them."
CTFs opened on behalf of children born after September 2002 cannot be accessed until they reach maturity when the account holder has reached 18 years of age.
