Treasury’s new plan could ‘aid the indebted’

Several hundred millions of pounds are believed to be resting in long-tern unused accounts in the UK and this money could be “reinvested in society” without altering the procedure for reclaiming the relevant cash, the Tresury has suggested.

The so-called unclaimed asset scheme has been detailed in an official document, which is now being consulted upon and has been backed by the Building Societies Association and the British Bankers’ Association.

Economic secretary to the Treasury Ed Balls said: “This is a unique opportunity to provide for worthwhile reinvestment in youth services, financial inclusion and capability, while balancing the financial interests of consumers.”

Last week, Mr Balls described the UK’s debt management and financial exclusion-related issues as a “big challenge” facing the country.