NI bond

Thank you for your enquiry below. In a follow-up email you also asked if the Treasury was the fiduciary agent for any such bond.

For children born on or after 1 September 2002, the government has provided a Child Trust Fund voucher. The scheme has points of similarity with a bond. The Child Trust Fund account will bear interest or be invested and is effectively held in trust until the child is 18; it is also tax free up until that point.

The value of the voucher is £250. For lower income households, an additional £250 is credited at birth. A further £250 is paid into the Child Trust Fund accounts of all children at age seven. More details are available on the Directgov website at -
http://www.direct.gov.uk/en/MoneyTaxAndB...

A number of correspondents have seemed to contemplate the existence of a different scheme, of much wider scope, whereby the Treasury or the government accounts for every citizen as an economic asset from their birth, reflecting their putative lifetime value or ‘sweat equity’. In case this is behind your enquiry, I can assure you that there is no such arrangement.

In the light of the above comments, we are in difficulties to understand your question about the fiduciary agent. The Freedom of Information Act provides a right of access to recorded information; if you can identify what sort of information would answer your question, we would be happy to look for it.

If you have any queries about this letter, please contact me. It will be helpful to us if you remember to quote the reference number above in any future communications.

show quoted sections