£440m windfall from forgotten bank accounts to help kids and cash-strapped families

Hundreds of millions of pounds sitting in forgotten bank accounts is finally being put to good use, with the cash set to change lives across the country.

In a major shake-up, the government has unveiled its first-ever Dormant Assets Scheme Strategy that has unlocked £440 million for young people, struggling families, and hard-hit communities.

That means if you’ve ever left money sitting in an old savings or investment account, chances are it could now help fund a music workshop, a youth football team, or help a single mum pay for a fridge repair instead of turning to a loan shark.

The windfall includes:

• £132.5 million to give disadvantaged young people the chance to take part in music, drama and sport, helping them build confidence, learn skills, and land jobs in the future.
• £132.5 million to support families with affordable loans and financial education, so they’ve got somewhere to turn when the washing machine packs in or the car breaks down.
• £87.5 million to boost charities and social enterprises, many of which run food banks, youth clubs and community hubs.
• £87.5 million to fund local projects picked by communities themselves, helping tackle loneliness, crime and isolation.

Talking about the scheme, Chancellor Rachel Reeves said: “We’re turning forgotten assets into fresh opportunities – helping young people realise their potential and giving families a safety net when they need it most.”

The Dormant Assets Scheme has already released £1 billion to charities and communities since it began, but today’s £440 million boost is the biggest yet.

So how can you benefit?

While you can’t apply for this money directly, it will reach people through trusted organisations and schemes already in your area. Here’s where to look:

Local charities and youth groups

Groups will get extra funding to run youth clubs, sports sessions, drama classes and local events. Check noticeboards, school newsletters, or Facebook groups for free or subsidised activities near you.

Affordable loans when you need help

Schemes like Fair for You or your local credit union will get more support to offer safe, low-interest loans for when the fridge breaks or the car won’t start. These schemes are better than turning to expensive payday lenders or illegal loan sharks.

Community decisions, local results

Some of the cash will go into community wealth funds, meaning you and your neighbours can help decide what your area needs most, from a new youth space to local wellbeing support. Keep an eye on your local council’s website or attend community meetings to have your say.

Could you have money sitting in an old bank account?

If you want to check if you’ve got dormant money sitting in an old account, you can search for free at www.mylostaccount.org.uk