Commentary Section 8: Initial contribution by Inland Revenue
39.Subsection (1) imposes a duty on the Inland Revenue to pay to a provider the amount of the initial Government contribution (following a claim by the provider) once the provider informs the Inland Revenue that a CTF account has been opened either following an application (section 5(5)) or following a request from the Inland Revenue to open a CTF account (section 6(3)). When CTF accounts are first available the initial contribution will be £250 in relation to children who are eligible because of a child benefit award. Those children may qualify for an additional contribution of £250 under section 9. Children in care will not qualify for an additional contribution under that section, but their initial contribution will be set at an amount equal to £250 plus the additional contribution.