Co-operative Financial Services has been appointed to set up and administer the dormant bank accounts reclaim fund that will provide money for new Big Lottery grants and eventually provide the funding cornerstone for the Social Investment Wholesale Bank.

While there remains no timeframe for the establishment of the fund, which some estimates suggest could be worth up to £250m, the revelation that a company has been appointed to manage it suggests there is some momentum building.

However, a spokesman for the Office of Third Sector told Civil Society that the company and BIG will focus on “getting it right” rather than setting dates for the fund to become operational.

“Co-operative Financial Services has agreed to support the government and industry efforts to take forward the dormant account scheme and will prepare a plan for the establishment of the reclaim fund. They are submitting applications to the FSA for authorisation to establish and administer this reclaim fund,” the spokesman said.

The Big Lottery Fund will remain the nominated distributor of the funds that are not siphoned off for the Social Investment Wholesale Bank, and will distribute the money for social and environmental purposes to groups across England and Wales.

Although Co-operative has been given charge of the reclaim fund, the Cabinet spokesman said it would not give the organisation any advantage were it to apply to run the long-awaited Social Investment Wholesale Bank.