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

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Determination of Inland Revenue contributions

   

Mr Andrew Robathan

NC12

To move the following Clause:—

    '(1)   Any regulations under section 8(1) or 10(1) determining the amount of Inland Revenue contributions shall prescribe amounts intended to secure that, on the basis of the assumptions specified in subsection (2), the total value of an average child trust fund account on the date of maturity is approximately equal to the likely average level of annual student course fees on that date estimated in accordance with the provisions of subsections (3) and (5).

    (2)   Those assumptions are that—

      (a) the average annual rate of return on accounts will be 7 per cent., and

      (b) no subscriptions will be made to accounts.

    (3)   The Secretary of State shall, no later than 1st March 2005, lay before each House of Parliament a report setting out his estimate of the likely average level of annual student course fees for the dates of maturity specified in subsection (4) based on—

      (a) the level of such fees then expected to be in force on 1st October 2007, and

      (b) the Treasury's estimate of the change in the value of money between 1st October 2007 and each of the dates of maturity specified in subsection (4).

    (4)   Those dates of maturity are those for children born—.

      (a) between 1st September 2002 and 31st August 2003,

      (b) between 1st September 2003 and 31st August 2004, and

      (c) between 1st September 2004 and 31st August 2005.

    (5)   The Secretary of State shall, no later than 1st March 2006 and no later than 1st March of every year thereafter, lay before each House of Parliament a report setting out his revised estimate of the likely average level of annual student course fees for the dates of maturity specified in subsection (6) based on—

      (a) the level of such fees then expected to be in force on 1st October in the year after that in which the relevant report is laid ("the relevant day"), and

      (b) the Treasury's estimate of the change in the value of money between the relevant day and each of the dates of maturity specified in subsection (6).

    (6)   Those dates of maturity are—

      (a) those specified in subsection (4),

      (b) those for children born in the year ending with 31st August of the year in which the report is laid, and

      (c) those for children born in the year ending with 31st August of the year in which any previous report has been laid in accordance with the provisions of subsection (5).

    (7)   In this section—

       "course" does not include any part-time or postgraduate course other than a course of initial teacher training;

       "the date of maturity" means the date on which the person holding a child trust fund account is first able to withdraw funds from the account; and

       "student course fees" means fees in respect of, or otherwise in connection with, undertaking a course, including admission, registration, tuition and graduation fess but excluding—

      (a) fees payable to an institution for awarding or accrediting any qualification where the institution does not provide the whole or part of the course and is not a publicly-funded institution,

      (b) fees payable for board or lodging,

      (c) fees payable for field trips (including any tuition element of such fees), and

      (d) fees payable for attending any graduation or other ceremony.'.


Annual report on effect of child trust funds on wealth distribution

   

Mr George Osborne
Mr Peter Atkinson

NC13

To move the following Clause:—

       'The Treasury shall lay before each House of Parliament every year a report setting out the Treasury's assessment of the effects of the provisions of this Act on wealth distribution in society.'.


Permitted withdrawal of amounts from funds relating to those eligible for Disability Living Allowance

   

Mr David Cameron

NC14

To move the following Clause:—

       'In respect of the child trust funds where a person, or persons, are eligible for Disability Living Allowance in respect of the child by whom the fund is held, access to the amounts in the child trust funds shall be allowed before the child reaches the age of 18, but only where the conditions referred to in the Schedule are met.'.


NEW SCHEDULE

   

Mr David Cameron

NS1

To move the following Schedule:—

'Conditions for permitted withdrawal from funds relating to those eligible for Disability Living Allowance

    1   Access to amounts in a child trust fund to which section [permitted withdrawal of amounts from funds relating to those eligible for Disability Living Allowance] applies shall be permitted before the age of 18 in accordance with the provisions of this Schedule.

    2   Any child trust fund to which section [permitted withdrawal of amounts from funds relating to those eligible for Disability Living Allowance] applies shall be nominated as a "disabled child's trust fund".

    3   A parent or, in the case of a child in care, a social worker, shall be nominated as the "responsible adult" in respect of such a fund.

    4   A responsible adult nominated under paragraph 3 shall be able to access amounts in a disabled child's trust fund to spend on the child's behalf if the condition in paragraph 5 is met.

    5   That condition is that the amounts are to be used for—

      (a) the purchase or hire of equipment for use by the child in respect of their disability;

      (b) payment for nursing, night or child care;

      (c) payment for respite care or temporary residential care; or

      (d) payment for any specialist medical or palliative service in respect of the child's disability.

    6   At the end of each calendar year each adult that has withdrawn amounts in accordance with the provisions of paragraph 4 shall write to the Inland Revenue detailing expenditure of the kinds specified in paragraph 5.

    7   In all possible cases the responsible adult shall consult the disabled child about any steps to spend monies from the disabled child's trust fund.

    8   Regulations may be made for the purpose of the operation of the provisions of this Schedule.'.


   

Mr George Osborne
Mr Peter Atkinson

101

Title,     line     1,     leave out 'child trust funds' and insert 'baby bonds'.


PROGRAMME ORDERS OF THE HOUSE (15TH AND
16TH DECEMBER 2003)

That the following provisions shall apply to the Child Trust Funds Bill:

Committal

    1.   The Bill shall be committed to a Standing Committee.

Standing Committee

    2.   Proceedings in the Standing Committee shall (so far as not previously concluded) be brought to a conclusion on 20th January 2004.

    3.   The Standing Committee shall have leave to sit twice on the first day on which it meets.

Consideration and Third Reading

    4.   Proceedings on consideration shall (so far as not previously concluded) be brought to a conclusion one hour before the moment of interruption on the day on which those proceedings are commenced.

    5.   Proceedings on Third Reading shall (so far as not previously concluded) be brought to a conclusion at the moment of interruption on the day on which proceedings on consideration are commenced.

    6.   Sessional Order B (programming committees) made by the House on 28th June 2001 shall not apply to proceedings on consideration and Third Reading.

Other proceedings

    7.   Any other proceedings on the Bill (including any proceedings on consideration of Lords Amendments or on any further message from the Lords) may be programmed.


PROGRAMME ORDERS OF THE COMMITTEE (6TH AND 13TH JANUARY 2004)

That—

    (1)   during proceedings on the Child Trust Funds Bill the Standing Committee (in addition to its first meeting on Tuesday 6th January at 9.30 a.m.) shall meet—

      (a) at 2.30 p.m. on Tuesday 6th January, and

      (b) at 9.30 a.m. and 2.30 p.m. on Tuesday 13th January, at 9.30 a.m. on Thursday 15th January and at 9.30 a.m. and 2.30 p.m. on Tuesday 20th January;

    (2)   proceedings on the Bill shall (so far as not previously concluded) be brought to a conclusion at 5.00 p.m. on Tuesday 20th January.


 
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