An expansion of the government’s dormant assets scheme has been estimated to unlock a further £240m for good causes.
Set up by the government in 2011, the scheme frees up assets, including those from bank accounts, insurance, pensions and wealth management funds, and initially aims to reunite them with their owners.
The scheme has now expanded into the investments and wealth management sector, with Jupiter, J.P. Morgan, Janus Henderson, and Schroders announced today as its first participants.
The firms join more than 50 banks, building societies and insurers already signed up to the scheme.
Move follows regulatory rule change
Earlier this year, it was revealed that £1bn was donated to charities around the UK through the dormant assets scheme.
The move to expand the scheme follows last year’s regulatory rule changes that enabled the investment and wealth management sector to participate.
The Investment Association and Reclaim Fund Ltd, the scheme’s operator, have since worked together on the collaboration.
Civil society minister Stephanie Peacock said the expansion marked an “exciting milestone”.
“With over £1bn already released for good causes, we're seeing real impact – a twelvefold growth in the UK social investment sector.
“With the government's new £440m funding commitment, I encourage other firms to join this vital mission and help us turn dormant assets into life-changing opportunities for people across the country.”
