HMRC could owe hidden fortunes worth £2,200 to hundreds of thousands

Hundreds of thousands of young adults could be sitting on a hidden fortune worth more than £2,000 - and they don't even know it.

HM Revenue and Customs (HMRC) has confirmed that many thousand of people aged between 18 and 22 have unclaimed savings accounts - some dating back to the early 2000s - that are now ready to be cashed in.

The money, held in Child Trust Funds (CTFs), was deposited by the Government under a Labour scheme aimed at encouraging children to save.

But many of the young people eligible for the cash have no idea the accounts exist, and are being urged to "cash in their stash" - with the average claim totalling £2,200.

HMRC said: "Thousands of Child Trust Fund accounts are sitting unclaimed. We want to reunite young people with their money and we're making the process as simple as possible."

Launched in 2002, the CTF scheme gave every child born between 1 September 2002 and 2 January 2011 a tax-free savings pot - usually starting with a government contribution of £250. Some children from lower-income families received double.

The funds were placed in bank or building society accounts, and although the scheme closed in 2011, the money remains locked away, gaining interest, until claimed. Yet many of the now-grown-up beneficiaries remain completely unaware.

"If you're over the age of 18 and have not claimed your #ChildTrustFund, then you may be eligible to cash it in," HMRC said in a recent alert. "The average amount claimed is £2,200."

The funds become accessible at age 18, with the account automatically transferring into an adult ISA - unless action is taken by the account holder.

Despite the significant sums, confusion and a lack of awareness mean millions of pounds remain untouched.

Some young adults are turning to private agents who offer to track down the savings - but at a steep cost. One company reportedly charges up to £350 or 25% of the fund's value.

But HMRC warns there is absolutely no need to pay. It said: "You don't need to pay anyone to find your Child Trust Fund for you, locate yours today by searching 'find your Child Trust Fund' on ."

Details can be found .

Indeed, the government's free tool allows people to locate their CTF provider simply by entering their National Insurance number and date of birth. Last year alone, over 450,000 people used the service.

Once a request is submitted, HMRC says it will send a letter with the details of the provider, usually within three weeks. If no reply is received within six weeks, applicants are advised to write to HMRC directly, quoting their reference number.

Anyone looking to claim should visit and follow the simple steps. Parents and guardians can also use the service to locate funds for children under 18.

The money does not affect benefits or tax credits, and up to £9,000 a year can still be added to the accounts if desired.

For those eligible, this could be the easiest windfall they'll ever receive. So if you were born between September 2002 and January 2011, it might be time to check - you could be £2,200 richer than you think.