Child Trust Fund

The Child Trust Fund offers:

• a tax-efficient way to save for your child’s future, as all investment growth is free from income and capital gains taxes. View potential growth illustration,
• save from £10 a month up to £1,200 each year,
• a stakeholder Child Trust Fund account invested in a fund holding UK stocks and shares,
• the ability to deposit money into your child’s account using the bill payment function in Internet Banking – just add ‘Lloyds TSB Child Trust Fund’ to your bill payment list,
• a £20 Boots voucher** when you open an account and set up a Direct Debit for your child for more than £10 a month,
• the experience and expertise of our Child Trust Fund partner The Children’s Mutual – leading specialists in children’s savings.

How the Child Trust Fund works:

• The Government will send you a voucher for £250 automatically, once you’ve registered for Child Benefit, allowing you to open your child’s Child Trust Fund account.
• Once the account is opened, you can start contributing to the account to help save for your child's future.
• From age 13, the money is gradually moved into less risk investments, such as government bonds and cash.
• The Child Trust Fund account can only be accessed by the child from their 18th Birthday; your child can start managing it for themselves at 16.
• An overall maximum of £1,200 each year can be saved in the account by parents, family or friends.

For more information take a look at the frequently asked questions.

The value of the investment is not guaranteed and can go down as well as up, and your child could get back less than has been paid in. Tax rules may be subject to change in the future.

Alternatively, If your child was born before the 1st September 2002 you may be interested in a Young Savers account.

Back to savings accounts.