Child Trust Funds are long-term, tax-free savings accounts that were set up for every child born between 1 September 2002 and 2 January 2011, with the Government depositing £250 in the accounts.
The savings are not held by the Government but are held in banks, building societies or other savings providers. HMRC said the average Child Trust Fund is now worth £2,212.
Young people can take control of their Child Trust Fund at age 16 and withdraw funds when they turn 18 and the account matures.
If teenagers or their parents or guardians already know who their Child Trust Fund provider is, they can contact it directly. If they don’t know where their account is, they can use the online tool on Gov.uk to find out their Child Trust Fund provider. Young people will need their National Insurance number and their date of birth to access the information.
Angela MacDonald, HMRC’s second permanent secretary and deputy chief executive, said: “Thousands of Child Trust Fund accounts are sitting unclaimed – we want to reunite young people with their money and we’re making the process as simple as possible.
“You don’t need to pay anyone to find your Child Trust Fund for you; locate yours today by searching ‘find your Child Trust Fund’ on Gov.uk.”
The Government has warned people not to use third-party agents offering to search for Child Trust Funds as these organisations charge a fee, which can significantly reduce the amount received. For example, one agent highlighted by HMRC charges up to £350 or 25% of the value of the savings account.
Gavin Oldham, founder of The Share Foundation, said: “If you are 18-21 years old, the Government would have put money aside for you shortly after birth. This investment would have grown quite a bit and it’s in your name.
“The Share Foundation has linked over 65,000 young people to their Child Trust Fund accounts. It’s easy and free to find out where your money is. Go to findCTF.sharefound.org or Gov.uk to locate it today.”
