Unclaimed Assets
NCVO has long called for unclaimed assets to be reinvested for the benefit of communities. In our 2005 general election manifesto, Independence, Diversity, Voice, we called for money released from unclaimed assets to be fairly distributed across the whole of the voluntary and community sector and used to support a broad range of activities and causes.
The Dormant Bank and Building Society Accounts Bill will enable unclaimed assets from dormant bank accounts, where there has been no customer activity for 15 years, to be reinvested into the community. The customer will have the right to reclaim their assets at any point and the scheme will be voluntary, meaning that banks will not be required to participate.
What's New
- NCVO response to Dormant Accounts Scheme Secondary Legislation (PDF 126KB) - May 2009
Also in this section
Commission on Unclaimed Assets
The Commission on Unclaimed Assets, chaired by Sir Ronald Cohen, was set up at the initiative of the Scarman Trust. The Commission draws together a group of experts from the banking, finance, consumer protection and third sectors. The Commission also works in partnership with the Treasury, the Department of Communities and Local Government and the Home Office (now relocated to the Cabinet Office).
The Commission addresses three main issues: reuniting customers with their money and consumer protection; the transfer of unclaimed assets to a new entity; and the best use of unclaimed assets, which has been the major focus of their work.
The Commission has published an interim report setting out proposals to create a social investment bank, which would redistribute unclaimed assets to communities most in need. The bank would support a range of activities, including: funding for third sector organisations, supporting communities to acquire land or buildings and promoting enterprise in disadvantaged communities.
Further information is available on the Commission's website.
Unclaimed Assets Charity Coalition
The Unclaimed Assets Charity Coalition is a group of UK-based charities representing a range of causes who are working together to ensure that the Government helps charities gain access to the funds left to them by their supporters but lost in the form of unclaimed financial assets. Currently, the coalition's members include Cancer Research UK, Barnardo's, British Heart Foundation, RNIB, RNLI, RSPCA, the Royal British Legion and The Guide Dogs of the Blind Association.
The Unclaimed Assets Charity Coalition believes that hundreds of millions of pounds could be being held by financial institutions in the UK that are in fact owed to charities as lost legacy income from unclaimed assets. Under current rules, if an executor fails to find details of all the assets of an estate, all the beneficiaries due to receive a percentage will miss out, including charities.
As such, the Coalition are calling on government to help charities gain access to the funds left to them by their supporters, including through the creation of a comprehensive national register of unclaimed assets and broadening the definition of unclaimed assets beyond dormant bank accounts.
If you would more information about NCVO's work on unclaimed assets, please email the Policy Team or call 020 7520 2473.
