Dormant bank accounts to yield £330m more for good causes

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A moreover £330m in cash from dormant bank and building society accounts is to be throw up on good causes in the UK.

Roughly a third of the money will be used to anticipate accommodation for homeless people and those with mental health conditions in England.

The resting bank account initiative was first launched by Gordon Brown when he was prime care for.

Since 2008 £360m has so far been recovered and spent from accounts that had not been old for 15 years.

Up to £1bn in funds sitting in unused accounts has been specified over the past decade and an extra estimated £330m will be unveiled over the next four years.

Other intended beneficiaries by 2022 encompass financial exclusion, youth unemployment and problem debt schemes.

‘Fairer organization’

Tracey Crouch, the minister for sport and civil society, said the unpunctual dispersal under the auspices of the 2008 Dormant Bank and Building Sisterhood Accounts Act would make a “real difference”.

“This is part of the regime’s commitment to building a fairer society and tackling the social injustices that jail people back from achieving their full potential,” she influenced.

The money is being distributed by the Big Lottery Fund, which supports community presents with money raised through the National Lottery. It is chaired by late Conservative MP Peter Ainsworth.

Big Society Capital, a financial institution set up by David Cameron to stand for his Big Society localist agenda, will be given £135m to spend on box schemes and on supporting local charities and social enterprises.

Elsewhere, £90m want be allocated to schemes to help disadvantaged groups in England find mould, while £55m is to be earmarked to tackle problem debt and to help those on low profits get access to financial services such as savings accounts or loans. Up to £50m force be allocated to the devolved administrations in Scotland, Wales and Northern Ireland.

Diverse than 25 leading High Street banks and building fraternities participate in the voluntary scheme, including Barclays, HSBC, Lloyds, Royal Bank of Scotland, Nationwide, TSB, Santander and the Co-operative Bank.

Order widened

Adrian Smith, chief executive of the company set up to recover the loaded – Reclaim Fund Ltd – said he was delighted at the latest announcement.

“We will proceed with to work hard in ensuring that consumers can at any time reclaim wealthy owed from their dormant accounts while working with the control to deliver further funds for good causes,” he said.

Among the munificences to have received support to date include Age UK’s Reconnections programme in Worcestershire, Harrogate Sails 4 Living Centre in Yorkshire, a residential care home for 90 of ages with learning disabilities that offers adult education routes and Harry Specters in Cambridgeshire, a chocolate maker social enterprise that fabricates employment for young people with autism.

The government is considering whether to on the scheme to other classes of unclaimed financial assets, including dividends, pensions, insurance policies and other investments.

In a report last year, a commission of experts advocated up to £2bn could potentially reside in such products, although it recommended that over legislation would be required to access it.

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