Source · Select Committees · Public Accounts Committee
Recommendation 19
19
Accepted
HMRC's data on unclaimed Child Trust Fund accounts remains significantly out-of-date.
Conclusion
HMRC’s understanding of accounts yet to be claimed is nearly two years out-of-date: its most recent estimate of the number of Child Trust Fund accounts yet to be claimed 22 Qq 27, 86; Hansard, HC written answer, Child Trust Fund, UIN 181783, answered 24 April 2023 23 Q 1; C&AG’s Report, para 4.2 24 Qq 69, 94 25 Q 72 ; C&AG’s Report, para 4.15 26 Qq 72–75 27 Qq 66, 89, 92–93 28 Qq 44, 81–82, 94 29 Qq 34, 87 14 Child Trust Funds is based on data collected in April 2021, seven months after the first accounts matured. It told us that it intends to publish its next set of statistics in summer 2023 based on data from April 2022.30
Government Response Summary
The government agrees to provide more timely information on CTFs, with a target implementation date of Summer 2024. HMRC is exploring opportunities for more timely publication, has reminded providers of return requirements, and has already published updated statistics up to April 2022 in June 2023.
Government Response
Accepted
HM Government
Accepted
5.1 The government agrees with the Committee’s recommendation. Target Implementation date: Summer 2024 5.2 HMRC is exploring opportunities for publishing more timely information on CTFs. HMRC has reminded providers of the requirement to make returns within 60 days of the end of the tax year. HMRC is also improving its analytical processes to reduce lead times. HMRC anticipates that future statistical information up to tax year 2023 to 2024 will be published by tax year in the Summer of 2024. 5.3 Since the Committee hearing, HMRC has published more recent information on CTFs up to April 2022 in June 2023, including new tables showing the cumulative number of matured accounts. Prior to the publication, HMRC was aware that some Child Trust Fund providers had not completed the requisite annual return. HMRC identified and reminded providers of the outstanding returns and these are included in the latest published statistics. The issue of missing returns was addressed in paragraph 3.3 of the Annual savings statistics: background quality report on Gov.UK.