UK government releases billions into NFP sector
Four industry champions will distribute billions of pounds worth of dormant assets to the charity sector
The UK government has partnered with industry leaders to release billions of dollars’ worth of dormant funds into the Not-for-Profit sector.
Four industry champions for the banking, securities, pensions, insurance, wealth management and investment sectors have been chosen to increase the current dormant assets scheme. It is estimated $AU3.6 billion will be made available.
UK Minister for Sport and Civil Society, Tracey Crouch, said: “The Dormant Assets scheme has made a real difference to people’s lives across the country, with half a billion pounds already unlocked for good causes since 2011.”
Under the current Dormant Assets scheme, untouched funds from bank accounts are released to a Reclaim Fund, which is then responsible for distributing the money to good causes. So far over $AU1.7 billion has been released to the Reclaim Fund under the 2008 Dormant Bank and Building Society Accounts Act.
The four champions working on the expanded scheme are: Kristine Cooper from Aviva; Simon Kenyon from Lloyds Banking Group; William Nott from M&G; and Robert Welch from Tesco Plc. The leaders will work to strategise tactics on how to expand this to a wider set of financial assets.
Economic Secretary to the Treasury, John Glen, said: “I’m delighted that these highly-experienced business leaders have agreed to be our new industry champions.
“Their expertise will be vital as we look at ways to expand the scheme, and I look forward to working with them to reach even more people.”
Each of the industry leaders will work directly with stakeholders and the Reclaim Fund to develop the expansion plans and report back to UK Ministers.
“I look forward to working alongside these four experts to see how more unclaimed assets can be used to help communities in the future,” Crouch added.
As part of the champions’ work, the Dormant Assets Commission has recommended that the scheme should be extended to include assets such as pensions and investments. Glen added that the scheme has improved with aid from businesses.
“We introduced the Dormant Assets scheme with the aim of changing the lives of millions of people across the country through good causes,” Glen said. “But without the support of businesses, the scheme wouldn’t be what it is today.”