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Friday, 23 July 2010 12:00

The value of Child Trust Fund (CTF) vouchers is set to fall, it has been announced.

According to a government announcement on CTFs, the items will reduce from £250 to £50 from August 2010.

The second payment of £250 on a child's seventh birthday will also be scrapped from this date.

There are to be no more CTF vouchers given to babies born after January 1st, but parents who gave birth before this date can still open a 2011 account.

Kate Moore, head of savings and investments at Family Investments, noted: "The 1st August will bring a lot of change and parents will be rightly confused and concerned."