The Economic Secretary to the Treasury, Andrew Griffith, has announced a new drive to help young people find their unclaimed Child Trust Funds. The initiative aims to reunite millions of young people with funds worth up to £1,000 each, which were set up to help children save for their future.
Child Trust Funds were introduced in 2002 as a way to encourage children to save for their futures. Parents and grandparents were able to contribute to the funds, and the Government also made an initial contribution of £250 for each child. However, many young people are unaware that they have unclaimed funds.
The new initiative will see the Government working with organisations to help young people find their Child Trust Funds. This includes working with banks, building societies, and other financial institutions to identify unclaimed funds and contact the owners.
The Economic Secretary has stated that the initiative is an important step in helping young people to take control of their finances. He has also encouraged young people to check if they have unclaimed funds by visiting the Government's website or contacting their bank or building society.
The Child Trust Fund scheme closed in 2011, but it is estimated that millions of young people are still unaware that they have unclaimed funds. The Government estimates that the total value of unclaimed funds is around £100 million.
Labour's Shadow Treasury Minister, James Murray, has welcomed the initiative but has also called for more to be done to help young people manage their finances. He stated that the Government should provide more support for financial education and advice for young people.