Almost 3 million young adults are ‘quids in’ after claiming Child Trust Fund

Almost 3 million Child Trust Fund accounts held by 18 to 24 year-olds have either been claimed or transferred into an Individual Savings Account, HM Revenue and Customs (HMRC) reveals as it encourages the thousands who don’t know where their savings are to find them today.

Latest figures show around 827,000 young adults have a matured Child Trust Fund account waiting to be claimed, which could be worth on average £2,310.

Child Trust Funds are long term, tax-free savings accounts set up for children born between 1 September 2002 and 2 January 2011 with an initial government deposit of at least £250.

Young people can take control of their account at 16 and when the account matures at 18, can decide what they want to do with it - withdraw it to spend, leave it where it is or re-invest it.

Anna, 18 from London, has already claimed her Child Trust Fund:

It was really straightforward. Nationwide kept me updated the whole way through and explained how to access the money. I’m heading off to university soon, and I honestly had no idea how expensive things like saucepans, plates and all the other essentials would be, so this support has been really helpful.

Matteo, 18 from London, has decided to leave his savings in the account:

I’ve just turned 18 and I’m looking at all my options before deciding what to do with my Child Trust Fund. My parents have topped it up over the years, so it’s grown into a really useful amount of money. I don’t want to rush into anything or waste it, so I’m taking the time to work out what’s best for me.

If young people, or their parents or guardians, know who their Child Trust Fund provider is, they can contact them directly.