If a child was born between 1 September 2002 and 2 January 2011, the government almost certainly opened a savings account in their name. And, there is a good chance a Child Trust Fund (CTF) could be lying dormant somewhere. Child Trust Funds ran for those nine years, and somewhere between 760,000 and 800,000 of them are still unclaimed today, worth roughly £1.5 to £2 billion between them. The average account holds around £2,000. If this is something that could relate to you, or your child, here’s how you can go about finding it. 

What is a Child Trust Fund?

A Child Trust Fund, or CTF, was a long-term, tax-free savings account the government opened for every child born in the UK during that period. Families were given a voucher, usually £250, more for lower-income households, to open the account, and could top it up themselves each year on top of that. The money sat in a cash account, a stocks and shares account, or a mix of both, growing until the child turned 18.

There were two broad types, cash accounts and stocks and shares accounts, and a smaller number of providers ran Shariah-compliant funds for families who wanted that option.

The scheme closed to new accounts in January 2011 and was replaced by the Junior ISA (which is what we offer here at the Children’s ISA), but every CTF already open carried on running in the background. Millions of them still are, quietly maturing while the people they belong to have moved house, changed their name, or genuinely forgot about the account or, in some cases, didn’t realise it even existed. 

Why so many go missing

Nobody sets out to lose a Child Trust Fund; it usually happens by accident, in one of a few predictable ways. Parents open the account when their child is a baby, then move house two or three times before that child turns 18, and the paperwork never catches up. Remember, a lot of these accounts would have been set up when communication from financial services companies was paper only. Providers may have merged, got bought out, or rebranded, and the account holder could have no idea what has happened to their investment. In some cases, children were auto-enrolled by HMRC because a parent never got round to opening an account themselves, so the family had no record of it to begin with.

Whatever the reason, the result is the same. A pot of money that’s legally yours is sitting with a provider you’ve never heard of, and nobody is chasing it up on your behalf. And, thanks to compounding interest, it could be worth a considerable amount now. 

How to trace a lost Child Trust Fund

Tracing a CTF is free and doesn’t take long.

1. Check what you already know first. Old paperwork, birthday cards, or emails from around when the account was opened sometimes mention a provider name. If you already know who holds it, you can go straight to them.
2. Use HMRC’s free online tool. If you’ve got nothing to go on, HMRC can tell you which provider holds your account. You’ll need your National Insurance number, since that’s how the search is matched to you.
3. No National Insurance number? You can request a replacement from HMRC, or use The Share Foundation’s free tracing service instead, which can search without one.
4. Contact the provider once you have a name. They’ll want to confirm who you are, usually ID and proof of address, before they’ll release any account details.

How long it takes, and what you get back

HMRC typically replies within about three weeks. What comes back is the name of the provider holding your account, not the balance itself, so you’ll still need to contact that provider directly to find out what’s actually in there and how to access it.

Watch out for paid tracing firms

Search “child trust fund” online, and you’ll find plenty of companies offering to trace your account for a fee. The Financial Conduct Authority has specifically warned about this, flagging firms charging up to £400, or running ongoing subscriptions, for a tracing service that’s entirely free through HMRC. As the FCA’s Chris Knight put it, you don’t need to pay someone else to claim what’s already yours. If a site asks for payment before it’ll trace anything, close the tab and go to HMRC directly instead.

What to do once you’ve found it

None of this needs anyone’s permission but your own. The account, and whatever’s grown inside it over the years, has always belonged to the child it was opened for. Tracing it is just a matter of asking the right person the right question.

What happens next depends on how old the account holder is.

If they’re 18 or over, the account has already matured. They can withdraw the full balance, take out part of it, or leave it invested and roll it into an adult ISA to keep it growing tax-free.

If they’re still under 18, the money can’t be touched yet, but it doesn’t have to sit in a Child Trust Fund until then. Transferring it into a Junior ISA is straightforward, and it gives the family a clearer, more actively managed home for it in the meantime, rather than leaving it forgotten with a provider nobody’s dealt with in years.

There’s also a less well-known option worth flagging if a first home is on the horizon: matured Child Trust Fund money can be paid into a Lifetime ISA. Contributions count toward the £4,000 annual LISA allowance and qualify for a 25% government bonus, but only 18- to 39-year-olds can open one, and anything withdrawn for a reason other than a first home under £450,000, or before turning 60, comes with a 25% penalty. It won’t suit everyone, but it’s worth knowing about.

If you’d rather keep things simple and stay invested, transferring your Child Trust Fund into a Junior ISA or adult ISA with us takes a few minutes online. Transfer Now

FAQs

How do I find out if I have a Child Trust Fund? Use HMRC’s free online tracing tool, or The Share Foundation’s service if you don’t have your National Insurance number to hand.

Is tracing a Child Trust Fund free? Yes, always. Anyone charging you to trace or claim it isn’t HMRC, and the FCA has warned about firms charging up to £400 for a service that costs nothing.

What if I don’t have my National Insurance number? Request a replacement from HMRC, or use The Share Foundation’s search, which doesn’t need one.

How long does it take to find a lost Child Trust Fund? HMRC typically responds within about three weeks with the name of the provider holding your account.

Can I access the money before I’m 18? No. Child Trust Funds are locked until the account holder turns 18, aside from a small number of exceptions such as terminal illness.

What happens to a Child Trust Fund at 18? The account matures automatically, and the money becomes accessible. The holder can withdraw it, leave it invested, or transfer it into an adult ISA.

Can I transfer a Child Trust Fund to a Junior ISA? Yes, as long as the account holder is still under 18. Once they turn 18, the money moves into an adult ISA instead.