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ESTATE ADMINISTRATION · CHILDREN'S ASSETS

Child Trust Fund when a parent dies — what happens to it?

The fund belongs to the child — not the estate. A parent's death does not affect a Child Trust Fund's value, investments, or maturity date.

The executor has no authority over it. The child still receives it at 18.

Verified against GOV.UK on 22 Aug 2026
The CTF is held in the child's name — the parent was only the registered contact
It is not an estate asset and cannot pay the parent's debts
The executor does not administer it and should not include it in the estate valuation
A surviving parent or guardian takes over as registered contact
The child receives the fund at age 18 — automatically
§1Background

A government savings scheme — for children born 2002 to 2011.

Child Trust Funds were set up by the government for every child born between 1 September 2002 and 2 January 2011. HMRC issued a voucher — £250 at birth and £250 at age 7 (more for lower-income families) — which a parent or guardian used to open an account with a CTF provider. No new CTFs have been opened since 2011, but the existing ones continue to grow.

The account is held in the child's name. A parent or guardian was appointed as the registered contact — the person who can manage contributions and switch providers. The registered contact has no entitlement to the money — they administer it on the child's behalf.

§2What to do

Three steps — in this order.

The CTF does not need probate and does not close on the parent's death. The only administrative task is updating the registered contact so the account can continue to be managed.

1
Locate the CTF provider

Check any paperwork from when the child was born (2002–2011). If you can't find it, use HMRC's online finder at gov.uk/child-trust-funds — HMRC can identify which provider holds the account. You'll need the child's National Insurance number or date of birth.

2
Notify the provider and appoint a new registered contact

Contact the CTF provider with a copy of the death certificate. They will update the account and allow a surviving parent or legal guardian to become the new registered contact. The provider cannot transfer or close the account — only the registered contact role changes.

3
The child accesses the fund at 18

The CTF matures automatically at age 18. The provider writes to the child with access details. No executor action is needed — the child claims it directly. If the child is already over 16 they can take control of the account (but cannot withdraw until 18).

§3If the child has died

Different rules — the CTF forms part of the child's estate.

If the child named on the CTF has died, the position is different. The fund belongs to the child's estate and must be dealt with as part of that estate — not the parent's.

Notify the CTF provider: Send a copy of the child's death certificate. The provider will freeze and then close the account.
Obtain a grant if required: A grant of representation may be needed if the child's estate exceeds £5,000. Use form PA1A (no will) or PA1P (will). Small estates may be released without a grant.
Distribute under the child's estate: Under intestacy (AEA 1925 s.46), the funds typically pass to the parents equally. If the child left a will (unusual but possible for those aged 16–17), the will governs.
Inheritance tax: IHT only applies if the child's total estate exceeds £325,000 — rare in practice for CTF-only estates.
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§4Common questions

Frequently asked

Nothing changes to the fund itself. A Child Trust Fund belongs to the child — it is not part of the parent's estate and cannot be claimed by creditors or distributed under the will.

The parent was the account's 'registered contact', not its owner. A surviving parent or legal guardian takes over as registered contact by notifying the CTF provider with a copy of the death certificate.
No. A Child Trust Fund belongs to the child and does not form part of the parent's estate.

It is not an asset the executor needs to administer, it cannot be used to pay the parent's debts, and it does not pass under the will or intestacy rules. The executor should not include it in the estate valuation.
Use HMRC's online Child Trust Fund tracing service at gov.uk/child-trust-funds/find-a-child-trust-fund. You will need the child's National Insurance number (or date of birth and address history).

HMRC will identify the provider. Alternatively, HMRC can be contacted by post if online access is not possible.
If the child dies before age 18, the Child Trust Fund forms part of the child's estate. The CTF provider must be notified with a copy of the death certificate.

The account is then closed and the funds distributed according to the child's estate — typically to the parents under intestacy rules (Children Act 1989 / Administration of Estates Act 1925 s.46) unless the child left a will (which is unusual for a minor). The funds may be subject to inheritance tax if the child's estate exceeds the nil-rate band of £325,000.
No. The executor administers the parent's estate, not the child's assets.

A Child Trust Fund belongs to the child and cannot be accessed, closed, or redirected by the executor. The executor's only relevant role is to help identify the CTF provider if it appears in the deceased's records.
Potentially, if made within seven years of the parent's death — they are treated as potentially exempt transfers (PETs).

In practice, the annual gift exemption (£3,000) and the small gift exemption (£250 per person) would cover most normal CTF contributions, so IHT on CTF contributions is rare. If the parent made unusually large contributions in the final seven years, the executor should check whether any IHT liability arises.

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Related next steps
Executor refusing to act
When an executor won't move→
Letters of administration
No will — who applies and how→
Probate or letters of admin?
Quick disambiguation→
Joint bank account on death
Survivorship rules explained→

Informational, not legal advice. Child Trust Fund rules apply to England, Scotland, and Wales. GOV.UK data verified 22 Aug 2026.

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