Adults Lacking Mental Capacity: Child Trust Funds

Baroness Levitt Excerpts

Wednesday 28th October 2026 Lords Chamber

[Lord Lemos (Lab)]

I thank the noble Lord. We understand the seriousness of this problem and remain committed to resolving this long-standing issue of access to child trust funds for young adults who lack mental capacity. This is a high priority for Minister Richards, who has engaged extensively with stakeholders and wants to move quickly towards a practical solution. The Government are very hopeful of making progress in the coming weeks.

[Baroness Levitt (Lab)]

My Lords, the law currently requires parents of disabled adult children to navigate procedures which were designed to protect vulnerable people from fraud and financial abuse. Does my noble friend the Minister agree that, where parents are simply seeking to access a child trust fund or junior ISA on behalf of a son or daughter for whom they have cared all their lives, there is a strong case for a bespoke and proportionate process which starts from a position of trust rather than one of suspicion?

[Lord Lemos (Lab)]

I agree with my noble friend. Of course we do not think that all parents are a danger to their children; that would be ridiculous. As I have said, Minister Richards is looking for a solution in the coming weeks. However, as I am sure my noble friend would agree, not every adult has loving parents and the principles that underlie the Mental Capacity Act about adults—we are talking about adults—being entitled to agency over their own funds is an important one.