Question to the Ministry of Justice:

To ask the Secretary of State for Justice, what options she is considering for improving access to matured Child Trust Funds for people who lack capacity.

Where a young adult lacks mental capacity, including due to a disability, the law requires parents or a guardian to have legal authority to make decisions on their behalf about financial assets or property. This requirement to have legal authority is vital in ensuring that vulnerable people are safeguarded and protected from all forms of abuse including financial abuse. This is not specific to accessing funds held in Child Trust Funds or Junior ISAs but applies more widely to all assets belonging to vulnerable people who lack capacity. This includes in relation to accessing funds held in a Child Trust Fund or a Junior ISA.

On 9 June 2023, the Ministry of Justice published the Making Financial Decisions for young people: parent and carer toolkit’ explaining the process by which parents and guardians of disabled children are able to obtain legal authority if no other arrangements are in place. This can be done by making an applying to the Court of Protection for an order authorising access to monies held in a Child Trust Fund or Junior ISA. The toolkit is available on Gov.UK.

We understand that concerns remain, and I am speaking with relevant stakeholders to explore what further can be done to help improve access to matured Child Trust Funds in a way that balances facilitating access with safeguards.