HMRC issues new alert for Brits to check if they’re owed £2,200

HMRC has urged Brits to see if they’re eligible for payment of £2,200. For anyone who has just turned 18, they may have a Child Trust Fund. A Child Trust Fund is a long-term tax-free savings account for children born between 1 September 2002 and 2 January 2011.

The account can be found as a parent for a child, or if the child is over 16, they are able to find it themselves. The scheme closed in 2011, but HMRC says young people can apply to a Junior ISA instead. People cannot have a Child Trust Fund as well as a Junior ISA, if they open a Junior ISA instead, ask the provider to transfer the trust fund into it. HMRC has provided tips on how to access the account and what Brits will need to do to see if they have one.

People can continue to add up to £9,000 a year to an existing Child Trust Fund account.

HMRC says: “The money belongs to the child and they can only take it out when they’re 18. They can take control of the account when they’re 16.

“There’s no tax to pay on the Child Trust Fund income or any profit it makes. It will not affect any benefits you receive.”

What will people need to access the account?

To access the account, Brits will need their National Insurance number.

They may also need their adoption details if they apply.

For parents or guardians looking for a child’s trust fund, they will need:

• The child’s full name, address and date of birth
• Any previous names you or the child have used
• The child’s National Insurance number if applicable

The form needs to complete the form in one go, it cannot be saved to return to later.

Once this has been done, a letter should be received from HMRC with details of the Child Trust Fund provider.

This is usually given within 3 weeks of HMRC getting the request, if applying online. Postal applications will take longer.

If there is no response received within six weeks, the next step is to write to HMRC.