The green paper on looked-after children, expected next month, will suggest how the Child Trust Fund can help children in care.
Treasury minister Ed Balls, announcing the move last week, said looked-after children “often miss out on the financial and support networks taken for granted by others”.
Under the current scheme, local authorities must inform HM Customs and Revenue when children come into their care for the first time. Where a child in care is first eligible for an account they have £500 automatically paid into it, and all children in care on their seventh birthday receive £500.
Community Care revealed last week that the green paper, likely to be published on 9 October, will also include plans to professionalise foster care.