Almost three million young adults have now accessed or moved their Child Trust Fund savings, but hundreds of thousands of accounts remain untouched, according to figures released by
HM Revenue and Customs (HMRC).
The government is urging people aged between 18 and 24 to check whether they have a matured Child Trust Fund in their name, with around 827,000 accounts still waiting to be claimed. The average value of these accounts is estimated at approximately £2,310.
Child Trust Funds were introduced for children born between 1 September 2002 and 2 January 2011. The tax-free savings accounts were designed to give children a financial start in adulthood, with the government making an initial contribution of at least £250.
Accounts can be accessed by young people from the age of 16, while they officially mature when the account holder turns 18. At that point, the account holder can withdraw the money, leave the savings invested or transfer them into another suitable savings or investment product, including an Individual Savings Account.
Since September 2020, almost three million matured Child Trust Fund accounts have either been claimed by their owners or transferred into ISAs.
The government says, however, that a significant number of young adults may be unaware that they have money saved in their name. Because the accounts were established when the beneficiaries were children, some parents may have opened them years ago without their children being fully aware of the arrangements.
Young people who know which bank, building society or other financial provider holds their account can contact the provider directly. Those who do not know where their savings are held can use the free Child Trust Fund locator service on GOV.UK.
The online search service has already been used extensively. Almost 500,000 young people used the government locator during the nine months to August 2026.
The process takes around five minutes and requires the young person's National Insurance number and date of birth. HMRC says most applicants receive information about their account within three weeks.
Those who cannot find their National Insurance number can obtain it through the HMRC app and save it to their digital wallet for future use.
The government has also established a Child Trust Fund Taskforce, bringing together officials and representatives from the savings industry. Its aim is to increase awareness of the accounts and help more young people gain access to savings that belong to them.
Economic Secretary to the Treasury Lucy Rigby, who chairs the Taskforce, said some of the earliest Child Trust Fund accounts have now been matured for more than six years, meaning that eligible young adults may have money available without realising it.
The government stressed that Child Trust Fund savings are not held by the state. Instead, individual accounts remain with banks, building societies and other authorised savings providers.
For young adults preparing for university, moving into their first home or entering employment, the funds can provide access to savings accumulated during childhood. However, account holders can also choose to leave the money invested rather than withdraw it immediately.
The latest figures are intended to encourage those who have not yet checked their entitlement to locate their accounts and decide how they wish to manage their savings. Photo by Images_of_Money's profile, Wikimedia commons.
