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Child Trust Fund vs Junior ISA: what is the difference?
Child Trust Funds (CTFs) were government savings accounts for children born between 1 September 2002 and 2 January 2011. They are no longer open to new applicants. Junior ISAs (JISAs) replaced CTFs in November 2011 and remain open today. Children with a CTF cannot also open a Junior ISA — but they can transfer their CTF to a Junior ISA.
CTFs are closed to new applicants. Children born before January 2011 who have a CTF can transfer it to a Junior ISA — often with better rates and more provider choice.
Child Trust Fund vs Junior ISA: key comparison
Feature
Child Trust Fund
Junior ISA
Open to new applicants?
No — closed since 2011
Yes
Annual contribution limit
£9,000 per year (same as JISA)
£9,000 per year (2025/26)
Tax on growth?
No — tax-free
No — tax-free
Who can contribute?
Parents, grandparents, anyone
Parents, grandparents, anyone
Access
At age 18
At age 18
Can transfer to JISA?
Yes — since April 2015
N/A
Provider range
Limited — original CTF provider
Wide — including Hargreaves Lansdown, Vanguard, Fidelity
Should you transfer a CTF to a Junior ISA?
In most cases yes — Junior ISAs typically offer better interest rates (for cash) and lower platform fees (for stocks and shares) than CTF providers. The transfer is free and does not affect the annual contribution limit.
Better rates — the best Junior ISA cash rates are up to 5.0 to 5.5% AER; most CTF providers pay less
Lower fees — stocks and shares JISAs at Vanguard charge 0.15% per year; many CTF providers charge 1.5% or more
More provider choice — ISA providers include Hargreaves Lansdown, AJ Bell, Fidelity, Trading 212, and others
No downside — transfer is free and tax-free status is fully preserved
How to transfer a Child Trust Fund to a Junior ISA
Step 1 — Locate your CTF provider (check old statements or use the HMRC CTF lookup tool at gov.uk)
Step 2 — Open a Junior ISA with your chosen new provider
Step 3 — Request a transfer with the new JISA provider — they handle the process
Step 4 — Transfer takes up to 30 business days to complete
What if you cannot find your CTF?
HMRC has a Child Trust Fund lookup tool at gov.uk/child-trust-funds. Enter the child National Insurance number (available from age 16) or ask HMRC directly. Millions of CTF accounts are unclaimed — it is worth tracking down even a small pot.
Verdict
Transfer to a Junior ISA for better rates and lower fees
If your child has a CTF, transferring to a Junior ISA is almost always the right move — better rates, lower costs, and more flexibility. The transfer is free and straightforward. Start with the HMRC CTF lookup if you have lost track of the account.
Frequently asked questions
Can a child have both a Child Trust Fund and a Junior ISA?
No. A child cannot hold both simultaneously. They can transfer their CTF to a Junior ISA, after which the CTF is closed.
What age can a child access their CTF or Junior ISA?
Both a CTF and a Junior ISA are accessible from age 18. The child cannot access the funds before this — neither parents nor the child can withdraw early.
Can grandparents contribute to a Child Trust Fund or Junior ISA?
Yes. Anyone can contribute to a CTF or JISA — parents, grandparents, other family, or friends. Only the annual limit (£9,000) applies in total across all contributors.
Do Child Trust Funds still earn interest?
Yes. CTFs that have not been transferred continue to grow with interest or investment returns depending on the account type. However, rates are often lower than the best Junior ISA equivalents available today.
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The content on Kaeltripton.com is for informational and educational purposes only and does not constitute financial, investment, tax, legal or regulatory advice. Kaeltripton.com is not authorised or regulated by the Financial Conduct Authority (FCA) and is not a financial adviser, mortgage broker, insurance intermediary or investment firm. Nothing on this site should be construed as a personal recommendation. Rates, figures and product details are indicative only, subject to change without notice, and should always be verified directly with the relevant provider, HMRC, the FCA register, the Bank of England, Ofgem or other appropriate authority before any financial decision is made. Past performance is not a reliable indicator of future results. If you require regulated financial advice, please consult a qualified adviser authorised by the FCA.
Chandraketu Tripathi
Finance Editor · Kaeltripton.com
Co Founder and lead editor of Kael Tripton. LBS MBA (Sloan Fellow), AI/ML postgraduate (IIIT Bangalore). 22 years in marketing and commercial roles across 23 markets. Covers UK money, tax and visas.
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