Financial and insurance services

Tender description

The Department for Education (DfE) is seeking a supplier to manage the Junior Individual Savings Account (JISA) scheme for looked after children and care leavers, and of Child Trust Funds (CTF). These are long term tax-advantaged saving accounts for children up to the age of 18. The Department is seeking a supplier to continue managing and administering the scheme from 1.1.2017. The estimated total value: Up to a maximum of 283 000 GBP per annum, or less (inclusive of VAT). In 2011, the Coalition Government ceased funding CTFs but agreed to establish a new scheme, funded and organised by DfE, to provide children who had been looked after for 12 months with a JISA, with an initial payment from Government of 200 GBP. JISAs and CTFs are long term tax-advantaged saving accounts for children up to the age of 18. To date the scheme has been managed by a contractor, and the Department is seeking a supplier to continue managing and administering the scheme. Some of the aspects of the service required include opening accounts for these vulnerable young people with the initial Government contribution of 200 GBP. The supplier will also be ensuring that these accounts are properly operated and invested appropriately with a range of JISA providers. The successful bidder will raise additional voluntary contributions, through donations or fund-raising, to build the value of the accounts. They will also provide financial education to help ensure responsible use of the funds when the JISAs mature at age 18. During 2017, or at a later date to be agreed between the relevant parties, the appointed supplier will also be required to assume management responsibility for approximately 11 000-15 000 CTFs of looked after children from the Official Solicitor for England and Wales; the Official Solicitor for Northern Ireland; or the Accountant of Court (for Scotland). As the corporate parent for children in care, the Government's view is that this group of vulnerable children need the financial help that their peers receive from their parents. The JISA is seen therefore as a modest start in building a nest-egg for these young people, with the expectation that their local authorities will also add to the account, so that by the time these vulnerable young people turn age 18, they will have something more substantial than 200 GBP.