Status:

This is the original version (as it was originally made). This item of legislation is currently only available in its original format.

Statutory Instruments

2026 No. 250

CHILD TRUST FUNDS

The Child Trust Funds (Amendment) Regulations 2026

Made

9th March 2026

Laid before Parliament

10th March 2026

Coming into force

6th April 2026

The Treasury make these Regulations in exercise of the powers conferred by sections 3(5) and 28(2) and (3) of the Child Trust Funds Act 2004(1).

Citation and commencement

1. These Regulations may be cited as the Child Trust Funds (Amendment) Regulations 2026 and come into force on 6th April 2026.

Amendment of the Child Trust Funds Regulations 2004

1. —(1) The Child Trust Funds Regulations 2004(2) are amended as follows.

(2) In regulation 2 (interpretation), in paragraph (1), in sub-paragraph (c), after the definition of “recognised UCITS” insert—

“ “ UK cryptoasset exchange traded note ” means a debt security—

(a) which is traded on a trading venue or a market operated by a United Kingdom recognised investment exchange,

(b) which features no periodic coupon payments, and

(c) whose return tracks the performance of an unregulated transferable cryptoasset, minus applicable fees, whether featuring delta 1, inverse or leveraged exposure or other exposure to the unregulated transferable cryptoasset being tracked.

In this definition, the expressions “debt security” (3), “trading venue” (4), “recognised investment exchange” (5) and “unregulated transferable cryptoasset” (6) have the meanings given in the Glossary of the Financial Conduct Authority Handbook as in effect on 8th October 2025 (7); ”.

(3) In regulation 12 (qualifying investments for an account)—

(a) in paragraph (2), at the beginning of sub-paragraph (b) insert “subject to paragraphs (2F) and (2G),”;

(b) after paragraph (2E) insert—

“ (2F) A UK cryptoasset exchange traded note is not a qualifying investment for an account for the purposes of paragraph (2)(b).

(2G) Notwithstanding paragraph (2F), investments which—

(a) immediately before 6th April 2026—

(i) were held under an account, and

(ii) were qualifying investments for an account by virtue of being UK cryptoasset exchange traded notes falling under paragraph (2)(b), and

(b) ceased to be qualifying investments for an account for the purposes of paragraph (2)(b) on the coming into force of paragraph (2F),

are to be treated, for as long as they are so held, as qualifying investments for an account. ”.

Gen Kitchen

Taiwo Owatemi

Two of the Lords Commissioners of His Majesty's Treasury

9th March 2026

Explanatory Note

(This note is not part of the Regulations)

These Regulations amend the Child Trust Funds Regulations 2004 (“ the principal Regulations ”).

Regulation 2(2) inserts a definition of “UK cryptoasset exchange traded note” into regulation 2(1)(c) of the principal Regulations.

Regulation 2(3) amends regulation 12 of the principal Regulations so that UK cryptoasset exchange traded notes are not qualifying investments unless they were held under an account immediately before 6th April 2026.

A Tax Information and Impact Note covering this instrument will be published on the website at https://www.gov.uk/government/collections/tax-information-and-impact-notes-tiins.

(1) 2004 c. 6.

(2) S.I. 2004/1450; relevantly amended by S.I. 2010/582, 2020/29, 2024/1023 and 2025/738.

(3) This definition can be accessed on the Financial Conduct Authority website at https://handbook.fca.org.uk/glossary/G3645c?timeline=true&date=08-10-2025.

(4) This definition can be accessed on the Financial Conduct Authority website at https://handbook.fca.org.uk/glossary/G2439?timeline=true&date=08-10-2025.

(5) This definition can be accessed on the Financial Conduct Authority website at https://handbook.fca.org.uk/glossary/G1034?timeline=true&date=08-10-2025.

(6) This definition can be accessed on the Financial Conduct Authority website at https://handbook.fca.org.uk/glossary/G3407u?timeline=true&date=08-10-2025.

(7) Paper copies of the defined expressions are available for inspection at: His Majesty’s Revenue and Customs, 100 Parliament Street, London SW1A 2BQ.

• Previous
• Next Back to top