A recent government initiative has highlighted a surprising issue.
Many young adults across the UK may be sitting on savings they do not even realise they have.
The focus is on Child Trust Funds, long term, tax free savings accounts set up for children born between September 2002 and January 2011.
At The MGroup, we support individuals and families across Oxford and Oxfordshire by providing clear, practical advice that helps them understand their financial position with confidence.
This is a good example of how greater awareness can unlock opportunities that already exist.
What are Child Trust Funds?
Child Trust Funds were introduced to encourage saving from an early age and to give young people a financial head start when they reached adulthood.
In many cases, the government contributed at least £250 at birth, with additional payments for lower income families.
Over time, these funds have often grown, and some are now worth several thousand pounds.
However, a significant number remain untouched.
“We regularly see situations where people are unaware of assets already in their name,” says Darren Green partner at The MGroup. “Child Trust Funds are a good reminder that small amounts, left untouched over time, can become meaningful sums.”
Why so many accounts remain unclaimed
According to recent government commentary, hundreds of thousands of young people are unaware that they even have a Child Trust Fund, let alone how to access it.
As individuals move address, change circumstances or simply forget paperwork, these accounts can easily be overlooked.
Lucy Rigby recently highlighted how this money could provide valuable support as young adults begin independent life, whether that means contributing towards education, covering living costs, or helping with an early financial goal.
HMRC’s renewed focus on reconnecting people with their savings
To address this issue, HM Revenue and Customs has increased efforts to reconnect individuals with their funds.
One key measure is a targeted campaign aimed at 21 year‑olds, a group more likely to have up‑to‑date contact details through employment or student finance records.
Letters are being issued encouraging individuals to check whether they have a Child Trust Fund and to take steps to access it.
HMRC also continues to promote its free online tracing service, which allows individuals to locate their Child Trust Fund provider quickly and at no cost. Read mor here
This is an important point, as some third party services charge fees for what is a straightforward process when completed through official channels.
“Using official channels is key,” explains Ollie Squire partner at The MGroup. “There’s no need to pay a third party to access money that already belongs to you.”
What families and young adults should consider
Parents, guardians and advisers may wish to encourage young adults in the relevant age group to check whether a Child Trust Fund exists.
Equally, young adults themselves may benefit from taking a few minutes to confirm their position.
Once accessed, funds can be withdrawn or, in some cases, transferred into other tax efficient savings vehicles, depending on individual circumstances.
Understanding the wider tax and financial implications can help ensure the money is used effectively.
Support around personal tax and financial planning can be found via our Oxfordshire based accountancy and tax advisory services read more here
A wider reminder about financial awareness
This initiative highlights a broader theme. Even well‑intentioned government schemes can lose visibility over time, leaving valuable resources unused.
A trusted, expert and supportive approach, backed by independent advice, can help individuals make informed decisions and access funds that are already rightfully theirs.
If you or a family member would like help understanding your financial position or exploring available options, an early conversation can often make all the difference. Contact us here