Vote Bundle Text (940106-05)

Amendments proposed to the Child Trust Funds Bill - continued	House of Commons

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Mr George Osborne
Mr Peter Atkinson

Clause 22, page 13, line 9, leave out 'child trust fund' and insert 'baby bond'.

Mr George Osborne
Mr Peter Atkinson

Clause 25, page 15, line 5, leave out 'Child Trust Funds' and insert 'Baby Bonds'.

Mr David Laws
Norman Lamb

145

Clause 27, page 15, line 12, after 'section', insert 'section [report on savings effect of child trust funds],'.

Mr David Laws
Norman Lamb

146

Clause 27, page 15, line 12, after 'section', insert 'section [report on savings incentives],'.

Mr David Laws
Norman Lamb

160

Clause 27, page 15, line 12, after 'section', insert 'section [proposals for conversion of child trust funds to tax-advantaged accounts for retirement saving],'.

Mr David Laws
Norman Lamb

159

Clause 27, page 15, line 12, after '31', insert 'and subject to the provisions of section 13'.

Mr David Laws
Norman Lamb

147

Clause 27, page 15, line 17, at end add—

'(4) No order may be made under subsection (3) until the report specified in section [report on savings effect of child trust funds] has been laid before Parliament.'.

Mr David Laws
Norman Lamb

148

Clause 27, page 15, line 17, at end add—

'(4) No order may be made under subsection (3) until the report specified in section [report on savings incentives] has been laid before Parliament.'.

Mr David Laws
Norman Lamb

157

Clause 27, page 15, line 17, at end add—

'(4) This Act does not come into force until the Treasury has laid before each House of Parliament a document setting out proposals for child trust fund accounts to become, on maturity, tax-advantaged accounts for retirement saving.'.

Mr David Laws
Norman Lamb

161

Clause 27, page 15, line 17, at end add—

'(4) No order may be made under subsection (3) until the report specified in section [proposals for conversion of child trust funds to tax-advantaged accounts for retirement saving] has been laid before Parliament.'.

Mr George Osborne
Mr Peter Atkinson

Clause 28, page 15, leave out line 20 and insert 'Secretary of State'.

Mr George Osborne
Mr Peter Atkinson

Clause 29, page 16, line 8, at end insert—

'"baby bond" has the meaning given by section 1(2),'.

Mr George Osborne
Mr Peter Atkinson

Clause 29, page 16, leave out line 10.

Mr George Osborne
Mr Peter Atkinson

137

Clause 30, page 15, line 15, after 'Act', insert 'except section [reduction of age of majority in respect of child trust funds]'.

Mr George Osborne
Mr Peter Atkinson

138

Clause 30, page 15, line 16, at end add—

'(2) Section [reduction of age of majority in respect of child trust funds] extends to Northern Ireland, but does not extend to Scotland.'.

Mr George Osborne
Mr Peter Atkinson

100

Clause 31, page 16, line 18, leave out 'Child Trust Funds' and insert 'Baby Bonds'.

NEW CLAUSES

Funds for children other than eligible children

Mr George Osborne
Mr Peter Atkinson

NC1

To move the following Clause:—

'(1) The provisions of this section apply to a child if the child was born after 31st August 1992 and before 1st September 2002 and either—

(a)	a person is entitled to child benefit in respect of the child, or

(b)	entitlement to child benefit in respect of the child is excluded by the provisions specified in subsection (2)(a) or (b) (children in care of authority),

but subject as follows.

(2) The provisions referred to in subsection (1)(b) are—

(a)	paragraph 1(c) of Schedule 9 to the Social Security Contributions and Benefits Act 1992 (c. 4) and regulations made under it, and

(b)	paragraph 1(1)(f) of Schedule 9 to the Social Security Contributions and Benefits (Northern Ireland) Act 1992 (c. 7) and regulations made under it.

(3) The provisions of section 2(3) to (6) shall apply to eligibility under this section as they apply to eligibility under that section.

(4) Regulations may amend subsection (1) by substituting for the reference to 1st September 2002 a reference to an earlier date.'.

Additional contributions by Inland Revenue for children in care

Mr George Osborne
Mr Peter Atkinson

NC2

To move the following Clause:—

'(1) If this section applies to a child the Inland Revenue must inform the account provider with whom a child trust fund is held by the child that this section applies to the child.

(2) If the account provider makes a claim to the Inland Revenue in accordance with regulations, the Inland Revenue must pay to the account provider such amount as is prescribed by regulations.

(3) The amount prescribed by regulations under subsection (2) shall be expressed as a percentage of the current rate of child benefit.

(4) On receipt of the payment the account provider must credit the child trust fund with the amount of the payment.

(5) This section applies to a child if—

(a)	a child trust fund is held by the child, and

(b)	the child was first an eligible child by virtue of section 2(1)(b).'.

Income disregard for purposes of income-related benefits, etc.

Mr George Osborne
Mr Peter Atkinson

NC3

To move the following Clause:—

'(1) In determining the matters specified in subsection (2), no regard shall be had of income and gains arising on—

(a)	Inland Revenue contributions to,

(b)	subscriptions to, and

(c)	investments under

a child trust fund.

(2) Those matters are—

(a)	eligibility for,

(b)	entitlement to, and

(c)

levels of

the benefits and credits specified in subsection (3) in respect of the holder of a child trust fund.

(3) The following are specified in this subsection—

(a)	child tax credit,

(b)	Council Tax benefit,

(c)	housing benefit,

(d)	income support,

(e)	income-based jobseeker's allowance, and

(f)	working tax credit.'.

Reduction of age of majority in respect of child trust funds

Mr George Osborne
Mr Peter Atkinson

NC4

To move the following Clause:—

'(1) For the purpose of any contract entered into in respect of a child trust fund, the age of majority shall be 16.

(2) The Family Law Reform Act 1969 (c. 46) is amended as follows.

(3) After section 1 insert—

"1A Reduction of age of majority in respect of child trust funds

(1) For the purposes of any matter specified in subsection (2) which relates to a contract entered into in respect of a child trust fund, a person shall attain full age on attaining the age of sixteen.

(2) Those matters are-

(1)	any rule of law, and

(b)	the construction (in the absence of a definition or of any indication of a contrary intention) of the expressions listed in section 1(2) and similar expressions in—

(i)	any statutory provision, whether passed or made before, on or after the date on which this section comes into force; and

(ii)	any deed, will or other instrument of whatever nature (not being a statutory provision) made on or after that date.

(4) In this section 'child trust fund' has the meaning given by section 1(2) of the Child Trust Funds Act 2004."

(4) In section 28(4) (extent), after paragraph (a) insert—

"(aa)

section 1A extends to Northern Ireland;".'.

Report on savings effect of child trust funds

Mr David Laws
Norman Lamb

NC5

To move the following Clause:—

'The Treasury shall lay before each House of Parliament a report setting out the Treasury's estimate of the net increase in saving which will result from the provisions of this Act.'.

Report on savings incentives

Mr David Laws
Norman Lamb

NC6

To move the following Clause:—

'The Treasury and the Department for Work and Pensions shall lay before each House of Parliament a joint report on the Government's policies to improve savings incentives from birth to retirement.'.

Proposals for conversion of child trust funds to tax-advantaged accounts for retirement saving

Mr David Laws
Norman Lamb

NC7

To move the following Clause:—

'The Treasury shall lay before each House of Parliament a report setting out proposals for child trust fund accounts to become, on maturity, tax-advantaged accounts for retirement saving.'.

Income disregard for purposes of benefits and tax credits

Mr David Laws
Norman Lamb

NC8

*To move the following Clause:—

'The value of a child trust fund will be wholly disregarded with respect to the calculation of entitlement to all benefits and tax credits in respect of—

(a)	the parents of children holding child trust funds,

(b)	children holding child trust funds, and

(c)	persons holding child trust funds who are aged 18 or over.'.