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Strong Take-up Of CTFs

Parents and guardians are making full use of tax-free Child Trust Fund vouchers offered by the government as three-quarters have already invested them, according to recent figures.

Over 75 per cent of the first children to receive Child Trust Fund (CTF) vouchers have had them invested, according to the latest statistics released by HM Revenue & Customs.

Nearly 85 per cent of all eligible children now have a CTF account and two-thirds of all parents who have received the vouchers have designated an investment proving there commitment to the tax-free government–backed investments.

"These figures from HMRC are very positive," said Tony Vine-Lott, director-general of the PEP & ISA Managers' association (PIMA).

"By carefully designating investments, parents and guardians of CTF-holders are choosing to play an active role in their child's future. But it's also important to important to remember that, because of Revenue-allocated accounts, no child misses out."

Analysis from PIMA, which has been an active supporter of the CTF from the start, shows that parents and guardians are regularly topping up CTF accounts with monthly contributions and lump sums.



01/06/2006
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