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Child Trust Funds ‘could leave disabled people without money’
Tuesday, July 21st, 2009Child Trusts Funds (CTFs) may prevent individuals with learning disabilities from receiving state benefits when they are older, one expert has suggested.
Aarti Puri, in-house lawyer at charity Mencap, said the scheme was "a good idea in principle", but funds saved in the name of disabled people could count as capital at a later age.
She remarked: "The government need to re-consider what rules will apply to a person with a learning disability who may need assistance from the state once they turn 18."
Parents could choose a family discretionary trust fund, Ms Puri added, in which money can be saved without affecting means-tested benefits through the child’s life.
However, these type of arrangements do not hold the kind of tax relief that CTFs do, she stated.
Her comments come after BBC Radio 4’s Money Box programme aired a discussion on how CTFs may adversely affect those with disabled children.
By Francis Finch
