Policy paper

Dormant Assets Scheme Strategy

Published 2 June 2025

Applies to England

Ministerial foreword

This government is securing Britain’s future through the Plan for Change, which is delivering security and renewal by kick-starting economic growth to put more money in working people’s pockets, rebuilding the NHS and making our streets safer. But we cannot do it alone – we need the support and commitment of partners across the public, private and civil society sectors.

The Dormant Assets Scheme demonstrates what can be achieved when these sectors join forces, united by a common purpose. Thanks to the steadfast support of industry, we have unlocked £1 billion for good causes to date and will continue to work in lockstep to shape the next chapter of the Scheme to deliver for people and communities across the country.

Together, we can ensure the next tranche of £440 million – allocated across youth, financial inclusion, social investment, and community wealth funds – delivers direct and meaningful impact where it is needed most. This funding will break down barriers to opportunities for young people, expanding their access to enrichment, skills and employment. It will empower them to reach their potential complimenting our back-to-work scheme, breakfast clubs and Arts Everywhere fund. Alongside our welfare reforms to help more people get the dignity and security of work, this strategy will also put front and centre the needs of those in financially vulnerable circumstances so more people can access the affordable credit, advice and support they need to manage financial pressures and ease their cost of living. We will increase the financial resilience of charities and social enterprises; and empower local people to make decisions about their communities, so they can create safer, stronger neighbourhoods.

In order to realise the opportunity presented by the Scheme’s expansion, the government will continue to work with industry partners to drive up participation across current and newly expanded sectors. This must all be achieved while safeguarding the Scheme’s integrity. The government is therefore dedicated to continuing to uphold the highest governance standards, fostering transparency and accountability. We believe this is critical to maintaining the confidence of stakeholders and the continued voluntary participation of financial services firms.

As this strategy progresses, certain aspects will inevitably change and evolve. I therefore want our approach to be flexible enough to deal with a changing world while remaining steadfast in the core values that underpin the Scheme. We will continue to draw on the expertise and experience of all our trusted partners across government, industry, civil society and local communities, to guide our decision-making and maximise impact. This collaboration has, and will continue to be, essential to our success.

I look forward to working together to deliver our shared ambitions for the Scheme; it is a pioneering example of how government and business can work together to tackle some of the most complex and long-term challenges facing the UK. Our refreshed approach and renewed ambition will ensure its continued success.

Rt Hon Lisa Nandy MP

Secretary of State for Culture, Media and Sport

Key terms and acronyms

2008 Act	The Dormant Bank and Building Society Accounts Act 2008
2022 Act	The Dormant Assets Act 2022
Additionality principle	The principle states that dormant assets money should be used to fund projects, or aspects of projects, for which funds would be unlikely to be made available by a government department, the Welsh Ministers, the Scottish Ministers or a Northern Ireland department.
Cause	The term ‘cause’ is used to refer to the broad purposes for which, or the kinds of person to which, a distribution of dormant assets money for meeting English expenditure may be made.
Community Wealth Fund (CWF)	A fund which gives long-term financial support (whether directly or indirectly) for the provision of local amenities or other social infrastructure.
Dormant asset	A dormant asset is an identifiable and attributable item, valued as a monetary amount or able to be valued as such, which a participant is unable to reunite with its owner despite reasonable efforts. Section 1(6) of the 2022 Act summarises the dormant assets that are in scope of the Scheme currently.
DCMS	The Department for Culture, Media and Sport
HMT	HM Treasury
Industry participant	The term ‘industry participant’ is used to refer to organisations holding dormant assets that might participate in the Scheme, according to the definitions set out in the 2008 and 2022 Acts.
MHCLG	The Ministry of Housing, Communities and Local Government
Reclaim Fund Ltd (RFL)	The Dormant Assets Scheme administrator and an HMT arms-length body. RFL receives dormant assets monies from participants, reserves a portion to meet any customer reclaims, and transfers the surplus to TNLCF to be distributed to social and environmental causes.
Spend organisations	Refers to the 4 independent organisations that have received dormant assets funding in England to date, and are overseen by The Oversight Trust. These are: Better Society Capital, Access - the Foundation for Social Investment, Fair4All Finance, and Youth Futures Foundation.
The National Lottery Community Fund (TNLCF)	The named distributor of the Dormant Assets Scheme. TNLCF receives the surplus dormant assets funding from Reclaim Fund Ltd (see below) and distributes it to the independent spend organisations.
The Oversight Trust	The independent organisation that oversees the work of the spend organisations that have been allocated dormant assets funding in England to date.
The Scheme	The UK’s Dormant Assets Scheme

1. Background

1.1 Introduction

The Dormant Assets Scheme enables businesses to voluntarily transfer dormant assets to Reclaim Fund Ltd (RFL), an HMT arm’s-length body and the Scheme’s administrator. Before doing so, firms need to make extensive efforts to trace and reunite the owners with their money; only when this is not possible, and the asset is unlikely to ever be reclaimed, can it be transferred into the Scheme. Even then, owners’ rights are still protected, with RFL taking on firms’ liability to repay customers if they later come forward to reclaim their money. As the Scheme is voluntary, businesses can decide if they want to join, how much they transfer, and whether they continue to participate.

Once RFL has retained sufficient funding to meet any potential customer reclaims, it releases the rest to The National Lottery Community Fund (TNLCF), the named distributor of all dormant assets funding. TNLCF in turn apportions the money it receives from RFL between the 4 nations of the UK. While DCMS can provide broad policy directions to TNLCF for the English portion of funding, the Devolved Administrations and TNLCF are responsible for dormant assets funding in Scotland, Wales, and Northern Ireland.

In England, dormant assets can be distributed towards social investment wholesalers, youth, financial inclusion, and community wealth funds. To date, the English portion of funding has been distributed through 4 independent organisations – Better Society Capital, Access - the Foundation for Social Investment, Youth Futures Foundation, and Fair4All Finance.

The Dormant Assets Scheme Strategy therefore relates only to the English portion of dormant assets funding.

1.2 Principles of the Scheme

The Dormant Assets Scheme is underpinned by the following core principles:

1. Reunification first: Consumer protection is at the heart of the Scheme. Participants’ first priority is to reunite customers with their assets.

2. Full restitution: The Scheme must match what the firm would have paid the owner at the point of reclaim, had their assets never been transferred into the Scheme.

3. Voluntary participation: The Scheme is voluntary. Businesses can decide if they want to join, how much they transfer, and if they continue to participate.

Legislation sets out that dormant assets funding must be used to support social or environmental initiatives across the UK. It is distributed in line with the additionality principle (Annex A), whereby dormant assets should be used to fund projects, or aspects of projects, for which funds would be unlikely to be made available by a government department. In England, dormant assets funding has been targeted at driving systems-wide change to entrenched social and environmental issues. This long-term and innovative approach is a key aspect of the Scheme’s success to date, and one the government wishes to continue.

1.3 Strategic objectives

Since its launch, the Dormant Assets Scheme has achieved remarkable success, surpassing initial expectations. It has garnered participation from most high street banks and building societies, along with firms from the insurance and pensions sector, realising £1 billion to address some of the country’s most pressing challenges – including breaking down barriers to work for disadvantaged young people, tackling problem debt, and creating the world’s first social investment wholesaler.

The Scheme exemplifies the transformative potential of collaboration among the public, private, and civil society sectors to drive meaningful change for communities across the UK. This partnership is critical for the delivery of the government’s Missions. With its expansion to three new financial services sectors expected to bring in an estimated £880 million over time, the Scheme serves as a blueprint for cross-sector collaboration in achieving large-scale, long-term systemic change.

This is an opportune moment to set out this government’s ambitions for the Scheme in order to broaden its reach and amplify its impact. We have considered the views of the public and key stakeholders, including current and potential participants in the financial services sector, and want to ensure that the Scheme’s strategic objectives are clear and align with the interests of everyone involved.
This government’s strategy for the Scheme is centered around three long-term objectives:

1. Achieving long-term systems change through innovative programmes.

2. Protecting the integrity of the Scheme and its funding.

3. Becoming the best practice standard mechanism to deal with dormancy.

By setting out our strategic priorities and corresponding programmes of work over the next 4 years, we aim to improve service delivery, while strengthening accountability and alignment across the dormant assets ecosystem. Importantly, this strategy is designed to serve as a roadmap for stakeholders involved in the Scheme, complementing their individual strategies without superseding or replacing them.

2. Achieving long-term systems change through innovative programmes

2.1 Background

Dormant assets are a unique type of funding that allows government, in partnership with firms from the financial services sector, to support long-term, innovative programmes that Exchequer money cannot fund. While primary legislation requires all dormant assets funding to be distributed to social or environmental initiatives, and that it must abide by the additionality principle, there is no restriction to spend this within a certain time period. This encourages truly innovative programme design and delivery in order to help address some of the most complex challenges facing the UK today and enact systemic change at scale.

To date, over £750 million worth of dormant assets has been allocated to good causes (youth, financial inclusion and social investment wholesalers) across England, and has been delivered by 4 independent, expert organisations: Better Society Capital, Access - The Foundation for Social Investment, Fair4All Finance and Youth Futures Foundation.

Following a public consultation that saw over 3,300 people, organisations, and financial services sector stakeholders have their say, the government confirmed that community wealth funds would join as the fourth cause for funding in England. These causes were subsequently enshrined in secondary legislation in November 2023. The government wants to ensure that the programmes it supports are designed and delivered to be as impactful as possible over the long-term while protecting the integrity of the Scheme. It therefore does not intend to review the named causes regularly, and a further public consultation would be required in order to make any changes to them.

2.2 Intended programme of work

In November 2024, DCMS announced that the next £350 million tranche of dormant assets funding would be split equally between the 4 causes over 2024-28 (i.e. £87.5 million each), with £12.5 million from social investment committed to reaching organisations that support improved youth outcomes.

Following this announcement, the government has reviewed its forecast and now anticipates a further £90 million will flow into the Scheme in England by 2028, on top of the £350 million already allocated. This additional funding will be split equally across the youth and financial inclusion causes, meaning that the next £440 million tranche of dormant assets funding will be distributed as follows:

• £132.5 million for the provision of services, facilities or opportunities to meet the needs of young people
• £132.5 million for the development of individuals’ ability to manage their finances or the improvement of access to personal financial services
• £87.5 million for social investment wholesalers (£12.5 million will reach organisations that support improved youth outcomes); and
• £87.5 million for community wealth funds

It is important to note that the £440 million is an estimate, not a certainty, and achieving it is dependent on the continual support of current participating firms, as well as the involvement of new firms joining the Scheme. The government will continue to maintain oversight of the funding flows into the Scheme, while TNLCF will continue to work closely with the spend organisations to ensure that funding drawdowns are managed pragmatically, strategically, and collaboratively.

The government recognises the unique nature and characteristics of dormant assets funding and remains committed to optimising its use while ensuring alignment with our priorities and Missions, as set out in the Plan for Change. DCMS will work with TNLCF and the spend organisations to integrate these into the delivery of dormant assets funding, while continuing to uphold the additionality principle.

2.2.1 Youth

£132.5 million will be allocated to support the provision of services, facilities or opportunities to meet the needs of young people. This will increase disadvantaged young people’s access to enrichment opportunities in the arts, culture, sports and wider youth services, aimed at improving wellbeing and employability. It also includes the £15 million ‘Building Futures’ programme announced under the previous government in September 2023, and delivered by Youth Futures Foundation.

Increase disadvantaged young people’s access to enrichment opportunities in the arts, culture, sports and wider youth services, aimed at improving wellbeing and employability:

• Within this broader focus, the government wishes to see the following priorities incorporated and embedded into delivery:
  • Helping to foster a culture of reading for pleasure amongst disadvantaged children and young people in the spaces and places that matter to them, including schools and youth clubs and other settings like early years providers and libraries, through targeted intervention and increased access to reading material
  • improving access to, and engagement with, music-making, performance and production for disadvantaged young people
  • increasing young people’s access to attending and participating in art, creativity and culture, providing opportunities and activities to enrich their lives and improve their wellbeing
  • encouraging investment in activities that will also develop children and young people’s creative skills, increasing their future employability into creative careers
  • providing varied, accessible and affordable opportunities for young people to participate in culture, sport, physical activity and access to outdoor spaces; in particular, providing access to physical activities and sports that support the Safer Streets and Growth Missions by targeting those at risk of crime or exclusion, and supporting people to enter/re-enter the workforce
  • increasing access and removing barriers to welcoming, safe spaces that support young people’s connections and community engagement, helping them to feel connected, valued and heard through activities such as youth voice, social action or volunteering
  • supporting local partnerships that help young people to access a variety of enriching arts, creative and cultural experiences; and
  • supporting access for children in care and care leavers to a range of enrichment opportunities, recognising the specific challenges they face and providing them with opportunities to thrive, including supporting their wellbeing and employability
• This will be delivered by TNLCF under a single, unified brand to be announced in due course. The government will work with them to design the specific programmes to be delivered, ensuring they align with ministerial priorities, the Missions and Plan for Change, while ensuring the additionality principle is upheld. As part of this, the government also wishes to explore opportunities to maximise the impact of programmes delivered by dormant assets funding by leveraging additional private and philanthropic investment, including seeking alignment with Lottery funding.

Alignment with the Missions:

Kickstarting economic growth: Research suggests that improving the UK’s NEET rate (Not in Education, Employment, or Training) to that of the Netherlands could add £69 billion to the economy over the long-term. Sport England estimates that the total annual primary value of sport and physical activity in England to be £8.6 billion from physical activity in children and young people; with an additional £8.2 billion from adult volunteering.^{[footnote 1]} There is also a statistically significant association found between attending sports clubs and being in employment 8 years later.^{[footnote 2]}

Break down barriers to opportunity: For many children today opportunity is too often limited, and their background can have a decisive impact on the life they are able to build. This Mission is about breaking that link between young people’s background and their future success by delivering in 4 key areas: giving every child the best start in life; helping every child achieve and thrive at school; building skills for opportunity and growth; and supporting family security. Supporting young people and youth services is important to all these aims – giving young people the opportunity of enrichment and the help they need to avoid falling into crime are central to the Opportunity and Safer Streets Missions.

Research by the Education Endowment Foundation found that enrichment participation can lead to between 1 to 3 months of additional academic progress,^{[footnote 3]} While multiple studies have found that enrichment can also develop young people’s confidence and soft skills and improve mental wellbeing.^{[footnote 4]}

Sport, arts, social action and youth activities can have a positive impact on the development of essential skills (including teamwork, communication and resilience)^{[footnote 5]} and attainment.^{[footnote 6][footnote 7]} There is also strong evidence that the positive effects of sports and exercise on human capital begin with children and adolescents, as measured by their cognitive and non-cognitive skills.^{[footnote 8]} Essential skills such as these have been positively correlated with intergenerational social mobility.^{[footnote 9][footnote 10]} Furthermore, there is robust evidence suggesting an association between arts participation and positive impacts on wellbeing and communication skills in young people including social skills, self-esteem and cognitive skills, all of which are also key skills for employment.^{[footnote 11]}

Safer streets: Evidence from the Youth Endowment Fund has shown that interventions that develop social and emotional skills, mentoring, school-based interventions and sport-based interventions help prevent young people from becoming involved in violence.^{[footnote 12]}

2.2.2 Financial inclusion

£132.5 million will be allocated to support the development of individuals’ ability to manage their finances or the improvement of access to personal financial services. This will be delivered by Fair4All Finance who will work to support financially excluded and underserved consumers to access affordable and useful products and services; as well as help build financial capability so that more people can manage their money well. The positive impact of financial inclusion on people’s day-to-day lives demonstrates the key role that financial services play in people’s ability to participate in the economy and manage their money well.

Support financially excluded and underserved consumers to access affordable and useful products and services:

• Building on Fair4All Finance’s existing work to improve access to affordable credit, increasing protection against financial shocks and smoothing incomes
• Contributing to the Financial Inclusion Strategy, reflecting Fair4All Finance’s position as a key delivery partner and allowing it to respond to the strategy’s priorities as they develop to ensure its work has the greatest impact

Help build financial capability so that more people can manage their money well:

• Building on Fair4All Finance’s financial vulnerability insights to target interventions and, in doing so, make use of the available financial capability expertise in the sector through partnerships with relevant financial education organisations in the delivery of programmes.

Alignment with the Missions:

Kickstarting economic growth: Fair4All Finance’s work to support financially excluded and underserved customers help individuals’ money to go further. Investments made by Fair4All Finance, using dormant assets funding, has led to over 150,000 customers being lent over £150 million by Fair4all Finance-funded providers. This has saved customers £29 million in interest fees since 2020. Fair4All Finance’s investments have also generated over £16 in social value for every £1 lent.^{[footnote 13]} Fair4All Finance has also committed £26 million to community finance providers, with recipients having seen three times higher growth than other community finance providers.

Fair4All Finance has committed £3.3 million to Fair Finance, an award-winning social business that provides affordable credit, advice and support to some of the most financially excluded people in the UK. They reach particularly under-served communities, with half of their customers born outside of the UK, 58% from black or minority ethnic communities and 4 in 5 living in areas of higher deprivation. This investment has supported Fair Finance’s digital transformation, built their operational resilience and increased the amount of lending they can provide to people in financially vulnerable circumstances. Fair Finance has brought together social and commercial funding to help nearly 100,000 people over the last 2 decades, and this investment will help them reach even more.

Break down barriers to opportunity: As low income families struggle to build savings and access affordable credit, they are less able to manage unexpected financial shocks which puts them at significantly greater risk of problem debt and leaves them more likely to use loan sharks. Fair4All Finance’s work to provide access to safe and affordable credit directly addresses these issues, and supports the long-term financial resilience of families by allowing them to repair a car for their commute or meet upfront nursery costs so parents can re-enter employment. Through Fair4All Finance’s ‘No-Interest Loans Scheme’, partnering with JP Morgan and HMT, 77% of borrowers have subsequently started making regular savings and 40% going on to take advantage of commercial loans having built up their credit record.

More widely, the government’s work to develop a Financial Inclusion Strategy is a key delivery vehicle for the Child Poverty Taskforce’s financial resilience pillar. As part of the Financial Inclusion Committee, Fair4All Finance has a role in the development of the Financial Inclusion Strategy which seeks to bring together industry, the third sector, and the government to drive the most impactful interventions in support of financial inclusion. Fair4All Finance’s continued expertise in scaling affordable credit will allow it to consider how it can amplify the Financial Inclusion Strategy’s outcomes through its future work and further contribute to the Child Poverty Taskforce’s opportunity objective.

An NHS fit for the future: With dormant assets funding, Fair4All Finance has supported the capacity, capability and sustainability of credit unions across the country. This has supported individuals to access affordable credit and avoid illegal money lenders. Research from Fair4All Finance indicates that around 80% of credit union customers reported a positive impact on their wellbeing and mental and physical health.^{[footnote 14]}

2.2.3 Social investment wholesalers

£87.5 million will be allocated to social investment that will be used to support the delivery of the Community Enterprise Growth Plan (CEGP), including £12.5 million reaching organisations that support youth outcomes. Building on progress to date, the CEGP has been developed by a coalition of stakeholders from the social investment sector with the aim of maximising investment in community enterprises and mission-driven businesses, particularly in the places and communities most affected by long-term economic decline. Alongside dormant assets, the plan seeks to leverage private investment and philanthropic finance to deliver significant change at pace, doubling the amount available to communities.

The CEGP’s design has been informed by the following principles:

• Needs-led: Focussed on those most at risk from long-term economic decline with at least 50% of investment targeted in the most deprived 30% of neighbourhoods and at least 25% in the most deprived 10% of neighbourhoods
• Leveraged: £175 million of investment and delivering additional funds for communities through crowding in other sources of capital from the private, philanthropic and public sectors.^{[footnote 15]}
• Locally-led: As decisions are better made by those close to and trusted by communities, this work will be delivered in partnership with a network of local and specialist investors
• Equitable: Recognising and addressing historical imbalances in financing for Black and Minoritised-led organisations
• Right tool for the right job: Interventions may take different forms (grant only, blend finance) ensuring we only use dormant assets funding where this is needed
• Youth-focused: Recognising the vitally important role of youth organisations, a substantial amount of funding will be used to help youth-focused organisations build resilience and expand their impact

This programme of work will be delivered by Access - The Foundation for Social Investment who will continue to build the financial resilience of charities and social enterprises through enterprise development; increasing the availability of affordable, patient and flexible finance that communities need to thrive; and ensuring social investment is equitable, efficient, and tailored to the needs of charities and social enterprises through investment in targeted projects and infrastructure. To date, Access has been allocated £83 million from the Dormant Assets Scheme. By the end of September 2024, this has unlocked £120 million of co-investment (this amount will increase as more funds are deployed). By September 2024, 1471 investments supported 1223 grassroots charities and social enterprises (this number will also increase as deployment continues).^{[footnote 16]}

Continue to build the financial resilience of charities and social enterprises through enterprise development:

• Providing tailored support and finance (including innovative incentives like Match Trading^{[footnote 17]} to help small enterprises grow in challenging areas. This includes support for youth organisations looking to develop enterprise models
• Boost enterprise grant-making by quadrupling the volume of enterprise grants available, reaching at least 1,700 organisations

Increase the availability of affordable, patient and flexible finance that communities need to thrive:

• Delivering small, flexible affordable loans to grassroots organisations - including using a mixture of grants and loans (blended finance) which has proved highly effective, particularly for enterprises in the most deprived communities
• This includes using at least £12.5 million to ensure at least £25 million of finance provided will reach organisations that support young people to achieve better outcomes - with around 400 such organisations expected to benefit in total
• Support over 1,000 investments in charities and social enterprises through blended finance

Ensure social investment is equitable, efficient, and tailored to the needs of charities and social enterprises through investment in targeted projects and infrastructure:

• Addressing the well-evidenced diversity gap for Black and Ethnic Minoritised-led charities and social enterprises in accessing finance. This includes providing £12 million scale-up funding for a Black and Ethnic Minoritised-led social investment fund, the Pathway Fund, as recommended by the Adebowale Commission on Social Investment.^{[footnote 18]}

Alignment with the Missions:

Kickstarting economic growth: Dormant assets have played a critical role in growing the UK’s social investment sector from £830 million in 2011 to more than £10 billion in 2023. The focus for the next tranche of funding for social investment has the potential to leverage an additional £90 million in private and philanthropic investment to support 1,000 blended finance investments and 1,700 enterprise support interventions in some of the most deprived areas of the country. This in turn will sustain and create over 8,000 jobs to drive local growth by reinvesting in communities affected by long-term economic decline.^{[footnote 19]}

Social enterprises, trading charities and community-based businesses create jobs and boost the local economy while addressing costly social problems, reducing the burden on public finances. The UK’s 131,000 social enterprises employ 2.3 million people and contribute £78 billion to the UK economy, reinvesting £1 billion in profit into their missions.^{[footnote 20]} For every £100,000 of turnover, social enterprises create 3 jobs; this compares to 0.66 jobs created for every £100,000 of turnover in the private sector.^{[footnote 21]} The VCSE sector is also growing more quickly than other parts of the economy. Compared to 2019 (pre-pandemic), employment in the Civil Society sector has increased by 4.9%, and in the UK overall by 0.6%. As a vibrant and growing part of the economy, Civil Society is well placed to help drive real change in local communities by combining economic and social impact.^{[footnote 22]}

Social investment is also associated with lower deprivation and increased economic output and productivity; with analysis of long-term, patient, locally-focussed social investment showing organisations experienced a 16% increase in their employment figures, with wages rising in tandem with business growth. As a result, some areas doubled their economic output and improved deprivation levels by up to 17% when compared with neighbouring areas not receiving social investment.^{[footnote 23]}

Break down barriers to opportunity: Social investment can play a crucial role in addressing child poverty and its underlying causes. By investing in organisations that provide early childhood support, family services, community-based food programs, preventative healthcare, mental health services, affordable housing, and job training, we can create a more sustainable approach to breaking the cycle of child poverty and deliver better outcomes for children.

Crucially, it enables a focus on early support rather than crisis response. By financing local, non-statutory services that reduce pressure on families, it helps protect children from harm and the wider causes of poverty. Blended finance is particularly effective in reaching organisations operating in more deprived areas, helping to build the capacity of local charities and social enterprises, enabling them to better support children and families in areas of highest need.

This work takes a variety of forms – from supporting early years interventions in the most deprived areas (IMD 1) of the country (such as Five Children and Families Trust in Speke, Liverpool) to place-based approaches in areas with high deprivation such as the Kindred model in Liverpool City Region or the Local Access programme in Hartlepool and Redcar. This would also complement models which combine private and philanthropic capital to finance early intervention and preventative work such as All Child (formerly West London Zone).

More broadly, social investment helps to target investment in the most underserved communities across the UK. Better Society Capital has received £444 million from dormant assets, and 64% of their investees are located within the 40% most deprived areas. Access has received £83 million^{[footnote 24]} from dormant assets - 65% of their investees are located within the 40% most deprived areas and 44% of their funding has gone to VCSEs that have not been funded by other major funders or social investors.^{[footnote 25]} Social enterprises also support those who struggle to access the labour market, with 40% looking to hire people from disadvantaged backgrounds and 12% having at least 25% of its workforce coming from vulnerable or disadvantaged groups.

The next tranche of dormant assets also aims to boost the development of Pathway Fund, a social investment wholesaler dedicated to catalysing opportunities for Black and Ethnically Minoritised communities across the UK.

2.2.4 Community wealth funds

£87.5 million will be allocated to community wealth funds. The government is pleased to confirm that this will be delivered by TNLCF, who are also contributing an additional £87.5 million of Lottery funding to the programme. Further details on this new initiative will shortly be published in the government’s response to the technical consultation on its design.

Alignment with the Missions:

Kickstarting economic growth: The community wealth fund is intended to target doubly disadvantaged communities, experiencing high deprivation and low social capital. Communities will be supported to develop the capacity and capability needed to manage and deliver up to £2 million to improve their area. Through funding received from the Big Local programme, Ambition Lawrence Weston used their initial £1m pot to leverage £5.5 million in external investment through a community-owned, net-zero energy project.^{[footnote 26]} This has created a sustainable funding stream that, alongside the creation of the Community Skills Academy, providing tailored training for residents to secure green jobs locally and city-wide,^{[footnote 27]} has driven long-term regeneration and growth in the area.

Breaking down barriers to opportunity: The community wealth fund is intended to target doubly disadvantaged communities, experiencing high deprivation and low social capital. These are often communities that have historically missed out on funding and/or have been unable to successfully bid for it. Residents will be supported to develop the capacity and capability needed to manage funding and deliver locally-identified priorities. They will be empowered to come together as a community, identify local priorities and community needs and subsequently make decisions on how to improve their community.

This may include targeted community programmes, such as community breakfast clubs, homework catch-up and mentoring, to boost participation and attainment. Research shows community-based settings are particularly effective in re-engaging students at risk of exclusion.^{[footnote 28]} This is crucial for enabling equality of pathways for young people, as pupils eligible for free school meals - a common indicator of deprivation - are 6 times more likely to be excluded from school than their peers.^{[footnote 29]}

Safer streets: The community wealth fund aims to bolster community engagement, participation and connectivity. Evidence from international comparators suggest stronger, more connected communities can significantly reduce crime, especially in disadvantaged neighbourhoods.^{[footnote 30]} Collaboration between communities, local authorities and local services through Big Local has shown that anti-social behaviour can reduce by 35% in these tight-knit neighbourhoods, as stronger community ties deter anti-social behaviour and foster local support networks.^{[footnote 31]}

The Good Shepherd Centre is located within the highest 10% of deprivation levels in the Bradford Metropolitan area. Their Safe Neighbour HUB project provides a safe place for some of the most disadvantaged families to meet, report hate crimes and receive practical support. They also give a platform for local police and partner agencies to directly engage with vulnerable communities.^{[footnote 32]} A further example is from East Finchley in London, where the Grange Big Local ‘funded a local martial arts gym, and organised self-defence activities to reach and gain the trust of young people living locally at risk of knife crime and gang violence. The group was able to build on the success of this project by employing trusted youth workers to provide support to the most vulnerable young people, without them feeling judged or monitored.’^{[footnote 33]}

3. Protecting the integrity of the Scheme and its funding

3.1 Background

Robust governance underpins the Dormant Assets Scheme’s reputation and integrity. It not only facilitates the flow of funding in and out of the Scheme, but ensures that at each level of the ecosystem, dormant assets are managed prudently and distributed in line with legislative requirements.

The governance structure has worked effectively in the context in which the Scheme has developed. Several organisations are involved in administering, managing, and distributing dormant assets in England, each with its own governance and operational frameworks. The government holds ultimate responsibility for the Scheme’s governance, with oversight responsibilities shared between DCMS and HMT. As such, the government is committed to ensuring that all parties have the necessary mechanisms and processes in place to manage risks while also managing and distributing funding effectively and efficiently.

As the Scheme evolves, its governance arrangement will too. With a potential significant increase of funding anticipated to flow into the Scheme over time, depending on levels of industry participation, it is important to adapt the governance structure to better meet the needs of the expanded Scheme. This governance approach will require greater transparency in reporting on spend and additionality, a clearer understanding of the Scheme’s performance and impact, and enhanced accountability across all levels of the ecosystem.

To achieve these goals, the government will ensure a proportionate level of oversight of dormant assets funding in England while providing our partners with the flexibility and agility they need to respond to new challenges and opportunities. However, we recognise that a careful balance must be struck across the Scheme to avoid creating significant administrative workloads that divert resources away from supporting the targeted causes and frontline activities.

3.2 Intended programme of work

Continue to uphold the additionality principle to increase transparency of how dormant asset funding is spent in England, and ensure that additionality considerations underpin all Ministerial decisions:

• Periodically review the operations and expansion of the Scheme in line with statutory requirements,^{[footnote 34]} including the steps taken by the government to ensure that dormant assets funding is additional or complimentary to central funding, not a substitution. DCMS published its first report to Parliament in February 2025
• Continue to provide TNLCF and all relevant stakeholders with clear sight of mutual policy areas funded by central government to avoid duplication and ensure that any Scheme initiatives remain additional
• Ensure all organisations in the Dormant Assets Scheme’s ecosystem in England consider and embed the principle into their programmes

Strengthen the evidence base around the Scheme’s performance and impact in order to inform decision-making and drive meaningful change:

• Work collaboratively with relevant stakeholders to consider different approaches for measuring impact with greater focus on comparability and attribution. As a first step, we will work with TNLCF, the Oversight Trust, and the spend organisations to develop guidance based on best practices
• Conduct a comprehensive evaluation of the Dormant Assets Scheme to assess its effectiveness and overall performance
• Ensure that the Scheme’s impact is clearly visible and communicated both across government and publicly in the most effective and compelling way.

Enhance accountability across the system to ensure risks are effectively managed, preventing any gaps in responsibility or overstepping on remit:

• Ensure that accountability is clearly understood with an increased focus on clarity of governance roles and responsibilities
• Enhance our understanding of key governance and delivery risks across each organisation, alongside escalation paths for mitigating these
• Promote greater coordination and effective communication between all stakeholders in the ecosystem to ensure that collectively, and individually, we remain at the forefront of best governance practice
• Strengthen the existing mechanisms for dealing with breaches of legal and regulatory provisions, should these ever arise, so that the Scheme continues to fulfil its statutory objectives and comply with relevant Anti-Money Laundering/ Fraud regulations and Managing Public Money guidelines

4. Becoming the best practice standard mechanism to deal with dormancy

4.1 Background

Since its inception in 2011, the Dormant Assets Scheme has established itself as a reputable and efficient vehicle for the financial services sector to deal with dormancy. With consumer protection at its heart, the Scheme encourages responsible businesses to identify forgotten or lost assets and to reunite them with their beneficial owners. Only when these reunification efforts have been unsuccessful can the money be transferred to RFL, which takes on the liability to meet any future reclaims. Operationally, this means that businesses can streamline their operations and reduce liabilities for historic claims.

By participating in the Dormant Assets Scheme, firms can not only clean up their balance sheets but also contribute towards important corporate and environmental, social and governance (ESG) objectives, while demonstrating compliance with Consumer Duty rules and regulations. The uniqueness of the Scheme lies in its ability to combine a broad range of financial products into a single pot, thus magnifying the amount of money available to support important initiatives across the UK.

Most major high street banks and building societies have already joined, collectively unlocking £1 billion for good causes. Building on this remarkable success and following extensive engagement with industry, the Scheme was expanded in 2022 into 3 new sectors: insurance and pensions; investment and wealth management; and securities. Aviva and Legal & General were the first participants in the expanded Scheme, and firms from other expanded sectors are expected to join in 2025.

The government’s long-term ambition is for the Scheme to become the leading best practice for managing dormant assets. We acknowledge that many companies already donate their unclaimed assets to individual charities, and we commend them for their efforts. By transferring these assets into the Scheme instead, firms can not only scale the impact of that funding but also deliver on corporate objectives and regulatory requirements. Our goal is to make the Scheme the preferred option for firms dealing with dormancy by offering a streamlined and tested mechanism for channelling lost or forgotten assets into good causes.
Significant work has been undertaken to date to realise this ambition. We have worked at pace to operationalise the expansion of the Scheme. This has involved working closely with HMT and regulators to amend tax legislation and regulatory rules, allowing for the inclusion of new eligible assets such as dormant pensions and client money. Meanwhile, RFL has focused on establishing the operational infrastructure required for the inclusion of these new assets. Going forward, we will continue to work in partnership with RFL, regulators, and industry to identify the barriers to participation and explore how regulatory or legislative approaches could address these challenges. We will also continue to proactively raise awareness of the Scheme’s tangible benefits and impact among eligible sectors.

4.2 Intended programme of work

Continue to work in close partnership with RFL, HMT, and industry stakeholders to implement current Scheme expansion:

• Ensure that all technical and operational changes are in place to facilitate the inclusion of all eligible asset classes, in accordance with the 2022 Act
• Make sure that the participation process is as streamlined as possible by continuing to provide firms with tailored support, resources, and guidance at all stages of their participation journeys
• Continue to work closely and collaboratively with HMT, RFL and our industry partners to oversee the expansion of the Scheme, address risks, and monitor progress

Increase awareness of the Scheme in existing sectors to help encourage participation:

• Develop a targeted communications strategy to effectively tell the story of the Scheme, ensuring messages are clear, engaging, and strategically crafted to resonate with key audiences – firms, customers, regulatory bodies, and the wider public. This could involve highlighting positive stories of customers being reunited with their assets, showcasing firms’ involvement in the Scheme, and illustrating the meaningful impact this funding has on communities across the UK
• Seek out opportunities for further promotion of the Scheme through bespoke events and campaigns. This could include organising high-profile roundtables for key stakeholders, including Ministers, industry leaders, and organisations which benefit from the Scheme, to discuss its impact and future opportunities

Explore opportunities for bringing additional sectors and/or assets into scope once the current phase of Scheme expansion is fully operational:

• Review Scheme expansion on a regular basis. The Dormant Assets Act 2022 requires the Secretary of State to carry out a periodic review of the Scheme, including the use of the power for further expansion. The first review will be laid in a report before Parliament in February 2025 and every 5 years thereafter
• Work in close collaboration with HMT, RFL, and industry to identify the most readily accessible pools of potentially dormant assets across a range of sectors, and assess the feasibility, risks, and value of their inclusion in the Scheme. A starting point could be revisiting the findings of the 2017 Independent Commission on Dormant Assets, which considered and recommended several financial products for inclusion in future phases of Scheme expansion

Annex A: Policy on the additionality principle

First published in the public consultation on the English portion of dormant assets funding in 2022.

Principle

The principle of additionality is a central tenet of the Dormant Assets Scheme and critical to its success. Reliant on voluntary participation, the Scheme is led by industry and backed by government. In order to protect its impact, it is imperative that this money cannot be used to substitute the government’s own spending and should not reduce other forms of public support for the important social and environmental issues it seeks to tackle.

The Scheme is administered through arms-length bodies and dormant assets funding does not enter into HMT’s reserves at any point. The 2008 Act describes additionality as the principle that dormant assets funding should be used to fund projects, or aspects of projects, for which funds would be unlikely to be made available by a government department or devolved administration. It requires TNLCF to report on its policy and practice relating to the principle when distributing funds.

The 2022 Act strengthens this further, now requiring the Secretary of State to periodically report to Parliament on how the money has been spent in England - including the government’s own policy and practices on additionality, alongside TNLCF’s. The first such report was laid before Parliament in February 2025.

Policy

In considering whether to make any policy directions to TNLCF, in exercise of the powers conferred by section 22(3) of the Dormant Bank and Building Society Accounts Act 2008, the Secretary of State shall consider the following:

1. The principle is upheld: Dormant assets funding should not be used to substitute, prop up, or duplicate statutory funding obligations of central or local government; nor replace a service that was previously funded by the government on a like-for-like basis.

2. The principle does not preclude complementary initiatives: The principle of additionality does not prevent working alongside the government. Dormant assets funding can complement and add value in areas of mutual policy interest, but must be a distinct project or aspect of the project.

3. The application of the principle is transparent: The Secretary of State should ensure any policies or practices are appropriately included in periodic reports to Parliament, in line with section 30(7) of the Dormant Assets Act 2022.

Practice

In order to give due regard to the principle of additionality, the government will:

1. Require TNLCF to consider how the relevant terms and conditions of any arrangements with distributing organisations can ensure that the principle is upheld.
2. Maintain effective relationships with TNLCF and any other relevant stakeholders to provide clear sight of mutual policy areas that the government is funding directly, in order to support them to develop initiatives that abide by the principle.
3. Encourage all organisations in the Dormant Assets Scheme’s ecosystem in England to embed the principle into their strategy and programmes.

Annex B: Evidence and engagement in support of the spend causes

Youth

To date, £110 million of dormant assets funding has been allocated for the provision of services, facilities or opportunities to meet the needs of young people. Young people are vital to the future of society and the economy; however we recognise that they face increasing challenges, particularly those from marginalised backgrounds, to fulfilling their potential. The Dormant Assets Scheme presents a unique opportunity to work in partnership with experts and young people in their communities to create long-term, impactful initiatives which empower and support those most in need, so all young people have the opportunity to achieve their potential.

Young people have told us that they want increased access to activities and opportunities, and that their biggest concerns are their mental health and wellbeing and their future employment prospects,^{[footnote 35]} both of which can have profound impacts on a young person’s ability to maximise their potential. Young people face the barriers of not having the softer skills needed to thrive in a complex, rapidly changing world of work, combined with growing mental health concerns. These are 2 interrelated issues, influenced by multiple risk and protective factors. We know, however, that access to enriching activities, such as sports, culture, the arts and opportunities offered in the wider youth sector, can improve mental health outcomes, support physical wellbeing, and develop the skills that employers are looking for.

Over a third of young people worry about finding a job (Children’s Society) as one of their top concerns, and young people’s mental health is at a decade low:

• Youth unemployment (16-24) was 13.6% (ONS) in 2024, in comparison to the National average of 4%^{[footnote 36]}
• Young people from minority ethnic backgrounds are at greater risk of higher unemployment and more precarious employment than their white peers^{[footnote 37]}
• Over the past decade there has been a downward trend in young people’s (10 -15) average wellbeing in nearly all life aspects, this is more significant for girls; and
• 75% of lifetime cases of mental health disorders begin before the age of 24^{[footnote 38]}

Young people’s access to opportunities, including reading and music, is not equal:

• Opportunities to participate in enriching activities are driven by household income, the school they attend, gender, ethnicity and geographic location^{[footnote 39]}
• Parents from higher socio-economic groups are more likely to take their children to arts and cultural events and to encourage them to participate in cultural activities, compared with parents from lower socioeconomic groups^{[footnote 40]}
• Children from ethnic minority backgrounds are less likely to participate in art and cultural activities. Parents who define themselves as Black and Minority Ethnic and ‘other’ backgrounds are less likely to take their children to arts events or encourage participation^{[footnote 41]}
• Children and young people with special education needs and disabilities (SEND) are less likely to participate in art and cultural activities, such as sports clubs and clubs for hobbies, arts or music ^{[footnote 42]}
• In 2023, 1 in 8 (12.4%) of young people aged 8-18 who received free school meals reported that they did not have a book of their own, double the percentage of young people who did not receive free school meals (5.8%)^{[footnote 43]} and
• A study by the Musicians’ Union has shown that families whose income is under £28,000 a year are half as likely (19%) to have a child who learns an instrument as those with incomes of £48,000 or more (40%), with 41% of lower income families reporting lessons were beyond their household budgets. In 2023, an Ofsted Report noted that inequalities in music provision continue to persist, with a divide between the opportunities for children and young people whose families can afford to pay for music tuition and for those who come from lower socio-economic backgrounds ^{[footnote 44]}
• The DCMS youth participation pilot survey^{[footnote 45]} found differences in levels of participation in youth activities^{[footnote 46]} based on young people’s demographics and circumstances. Those with lower levels of participation include those aged 16-19, females, those with long-term limited illness or disabilities and those in the most deprived areas (based on Income Deprivation Affecting Children Index)

Financial inclusion

To date, £145 million of dormant assets funding has been allocated to deliver financial inclusion initiatives, enabling the piloting and evaluation of new financial inclusion initiatives and partnering with financial services firms to increase the provision of products to financially excluded people. Through this work, Fair4All Finance projects it will increase the availability of affordable credit to £500 million.

Access to the right products at the right time has significant benefits for household financial resilience and wellbeing. Through the work of Fair4All Finance’s partners, borrowers have been able to meet the upfront nursery costs needed for parents to re-enter employment, replace essential white goods, and purchase cars needed to travel to medical appointments. In addition to meeting these immediate costs, repaying these loans improves borrowers’ credit scores, making it easier for them to access products in future. There is a continued need for these interventions and for wider consideration of financial inclusion in the UK:

• There is an estimated £2 billion unmet need for credit^{[footnote 47]}
• One quarter of people in financially vulnerable circumstances have no insurance^{[footnote 48]} and
• 20.3 million people are in financially vulnerable circumstances and are currently at risk of being underserved or excluded from the market.^{[footnote 49]}

In addition to having access to the right products, people need to be able to manage their money well. There is a clear need for interventions which target and improve individuals’ financial capability:

• 40% of young adults are financially literate and, for those who are unemployed, it is only 26%^{[footnote 50]}
• 24% of UK adults had low levels of confidence in managing their money^{[footnote 51]} and
• One quarter of adults have less than £100 in savings^{[footnote 52]}

Social investment wholesalers

To date, £517 million of dormant assets funding has been allocated for social investment. This has enabled investment in UK charities and social enterprises to grow twelvefold from £830 million in 2011 to £10 billion in 2023, providing vital support to enable them to continue to serve communities across the country, particularly those most affected by long-term economic decline. The Community Enterprise Growth Plan (CEGP) seeks to build on this progress with a renewed focus on ensuring that all regions and communities can benefit from social investment that is equitable, efficient, and tailored to the needs of the civil society sector. By providing community organisations and mission-driven businesses with access to finance and the right conditions to succeed, we can strengthen the economy across the country and empower communities to tackle social issues that hinder productivity and growth.

The CEGP is the result of collaboration among various partners in the social investment and social enterprise sectors, with backing from civil society, philanthropy, and mainstream businesses. As part of developing the CEGP, over 50 stakeholders were engaged to collect evidence and understand needs to inform how dormant assets could be deployed most effectively. This engagement built on recent research and evidence including the DCMS-commissioned review into blended finance conducted by New Philanthropy Capital (NPC), the Adebowale Commission on Social Investment, and responses to the 2023 public consultation.

Key findings from the research and engagement include:

• Social enterprises create jobs and growth in deprived areas:
  • Although they make up 1.7% of the UK’s business population, social enterprises employ 5% of the UK’s workforce^{[footnote 53]}
  • 22% of respondents to the 2023 State of Social Enterprise survey were based in the most deprived areas^{[footnote 54]}
• Enterprise development and investment readiness support can be highly effective in supporting the growth of earned income and resilience in the sector but there is a significant unmet need:
  • Many organisations, often at the earlier stages of their enterprise journey, do not have sufficiently reliable revenue streams or the capacity and capability to take on repayable finance
  • Evidence suggests that enterprise development and investment readiness support can be highly effective in supporting the growth of earned income and resilience in the sector^{[footnote 55]}
  • Demand for enterprise grants currently outstrips limited supply^{[footnote 56]}
• There is ongoing need for patient, flexible and affordable funding facilitated by blended finance, particularly in the most deprived places in the country:
  • The independent review of grant subsidy for blended finance, commissioned by DCMS and conducted by NPC^{[footnote 57]}, highlighted how blended finance opened up social investment to smaller, community-level organisations working predominantly in the 30% most deprived places in the country. This has enabled many of these organisations to scale up, expand their reach, and better achieve their social and environmental goals.
  • The review also found there was an ‘ongoing need’ for intervention by the government to support the provision of blended finance and noted that ‘withdrawing the subsidy would be very harmful for the social investment ecosystem.’
• Organisations run by and representing the most marginalised communities are under-served by the current market:
  • As highlighted by Social Enterprise UK (SEUK) data^{[footnote 58]} and the Adebowale Commission report^{[footnote 59]}, organisations run by and representing the most marginalised places and communities find it particularly difficult to access finance;
  • There is also evidence around the challenges for other minoritised groups, with social enterprises led by people with disabilities more likely to rely on grant income, and more likely to have made a loss on average in the last year^{[footnote 60]}
  • There are challenges at all stages of the pipeline, with Black-led social enterprises struggling to become investment ready (Adebowale), and then at the next stage not being approved for loans (Social Investment Business data from Resilience and Recovery Loan Fund).

Community wealth funds

Community wealth funds were added as the fourth named cause that dormant assets funding could support in England following a public consultation. The inclusion of community wealth funds received significant support from respondents and they were enshrined, alongside the other 3 causes, in secondary legislation in 2023.

Following this, the government ran a technical consultation to further inform its design. This sought views on 5 key principles that would underpin its design, as well a variety of further considerations that would shape its delivery.

1. Sports England, (2024), ‘The social value of sport and physical activity in England’ ↩

2. Education Policy Institute, (2024), ‘Access to extra-curricular provision and the association with outcomes’ ↩

3. https://educationendowmentfoundation.org.uk/education-evidence/teaching-learning-toolkit/arts-participation and https://educationendowmentfoundation.org.uk/education-evidence/teaching-learning-toolkit/physical-activity ↩

4. Social Mobility Commission, (2019), ‘An Unequal Playing Field: Extra-Curricular Activities, Soft Skills and Social Mobility’ ↩

5. DCMS, (2024), ‘Youth provision and life outcomes: systematic literature review’ ↩

6. Callanan, M., Chanfreau, J., Laing, K., Skipp, A., Tanner, E., Todd, L. (2016); Out of school activities during primary school and KS2 attainment; Centre for Longitudinal Studies ↩

7. https://educationendowmentfoundation.org.uk/education-evidence/teaching-learning-toolkit ↩

8. Lechner, M. (2015), Sports, exercise, and labor market outcomes. IZA World of Labor ↩

9. Education Policy Institute, (2024), ‘Access to extra-curricular provision and the association with outcomes’ ↩

10. Donnelly, M., Lažetić, P., Sandoval-Hernandez, A., Kumar, K., Whewall, S. (2019); An Unequal Playing Field: Extra-Curricular Activities, Soft Skills and Social Mobility; Department of Education and Institute for Policy Research, University of Bath; Social Mobility Commission ↩

11. CASE 2010, Education Endowment Fund 2021, University College London 2020 ↩

12. Youth Endowment Fund, (2020), ‘What works: Preventing children and young people from becoming involved in violence’ ↩

13. Fair4All Finance, (2023), ‘Impact Report 2020 to 2023: Transforming the lives of people in financially vulnerable circumstances’ ↩

14. Fair4All Finance, (2023), ‘Empowering lives: The social impact of Merseyside credit unions’ ↩

15. Based on leverage assumptions - the expected leverage ratio for enterprise development to be 1:1, and on blended finance to be 1.5:1. This is informed by past experience on Access’ programmes. ↩

16. Access – Social Investment, “Dormant Assets Dashboard,” (2025) ↩

17. Funding model that incentivises social enterprises and charities to increase their trading income by matching their sales growth with grant funding ↩

18. Adebowale Commission on Social Investment, (2022) ↩

19. Based on analysis of historic job creation trends by programmes delivered by Access - The Foundation for Social Investment and the Social Investment Business. The number takes account of the number of blended deals and enterprise grants proposed under the plan (2,500) and the mean number of FTEs in organisations reached by similar programmes (Growth Fund, Futurebuilders, and the Resilience and Recovery Loan Fund). In addition to the uplift created by organisations taking on additional staff (On Futurebuilders for example, organisations experienced a 16% increase in their employment figures). ↩

20. Social Enterprise Knowledge Central, (2023), ‘Mission Critical: State of Social Enterprise Survey 2023’ ↩

21. Better Society Capital, “Why Community Should Be at the Heart of Government Policy Measures,” (2020) ↩

22. GOV.UK - DCMS, “Economic estimates: employment in the DCMS sectors, January 2022 to December 2022,” (2024) ↩

23. Social Investment Business, “New evidence shows social investment can reduce poverty and boost local economies,” (2024) ↩

24. Access – Social Investment, “Dormant Assets Dashboard,” (2025) ↩

25. Based on analysis by the Curiosity Society of nearly 1,500 VCSEs (360 Giving data and Deal Leave Data published by BSC up to the end of 2022). Data up to Q3 2021 (does not include corporate donation, individual or legacy gifts) ↩

26. Big Local, (2021), ‘Big Local and Community Economic Development’ ↩

27. Local Trust, (2024), Clean energy in every community ↩

28. The Centre for Education & Youth, (2021), ‘Enriching Education Recovery: The role of non-formal learning, extra-curricular and enrichment activities in driving a transformational catch-up experience for children and young people’ ↩

29. Centre for Social Justice, “School exclusion at record high” (2024) ↩

30. Dominguez and Montolio, (2021), ‘Bolstering community ties as a mean of reducing crime ↩

31. Big Local, (2022), ‘Big Local relationships with public agencies’ ↩

32. The Good Shepherd Centre, “Our Funding Partners,” (2025) ↩

33. Local Trust, (2024), Tackling Crime Paper ↩

34. Section 30, Dormant Assets Act 2022 requires the Secretary of State to carry out periodic review, including the policy and practice of the additionality principle. ↩

35. The Children Commissioner’s Big Ask Survey, (2021); DCMS 2021 Youth Review; DCMS 2022 public consultation on the English portion of dormant assets funding, Internal DCMS engagement with young people (2023) ↩

36. Francis-Devine, B., Powell, A. (October 2024); Youth unemployment; ONS [accessed here] ↩

37. Bowyer, G., Henderson, M. (2020): Race Inequality in the Workforce, Exploring connections between work, ethnicity and mental health, Carnegie UK Trust, UCL Centre for Longitudinal Studies and Operation Black Vote ↩

38. Kessler RC., Berglund P., Demler O., Jin R., Merikangas KR., Walters EE. (2005); Lifetime prevalence and age-of-onset distributions of DSM-IV disorders in the National Comorbidity Survey Replication; Arch Gen Psychiatry; 2005; 62(6):593-602. ↩

39. Donnelly, M., Lažetić, P., Sandoval-Hernandez, A., Kumar, K., Whewall, S. (2019); An Unequal Playing Field: Extra-Curricular Activities, Soft Skills and Social Mobility; Department of Education and Institute for Policy Research, University of Bath; Social Mobility Commission ↩

40. BritainThinks (2018); Next ten-year strategy: Evidence Review, A report from BritainThinks ↩

41. Ibid ↩

42. Robinson, D. (2024); Access to extra-curricular provision and the association with outcomes; Education Policy Institute ↩

43. Clark, C., Picton, I. (2023); Children and young people’s book ownership in 2023: A 10-year retrospective; The National Literacy Trust ↩

44. Ofsted (2022); Striking the right note: the music subject report ↩

45. DCMS. (2024). Youth Participation Pilot Survey. ↩

46. Youth activities include sports clubs & classes, arts or music groups, youth clubs or centres, uniformed youth and any other classes or clubs. ↩

47. L.E.K Consulting, (2023), ‘Improving Access to Lending for the Financially Vulnerable - an Urgent Call to Action for the Consumer Lending Industry and Its Ecosystem’ ↩

48. Fair4All Finance, “Nearly half of UK adults now living in financially vulnerable circumstances,” (2024) ↩

49. Ibid ↩

50. MyBnk, (2023), ‘Financial Education in Secondary Schools in the UK’ ↩

51. Financial Conduct Authority, (2023), ‘2023 Financial Lives Survey’ ↩

52. Money and Pensions Service, ‘One in six UK adults have no savings,’ (2022) ↩

53. Adebowale Commission on Social Investment, (2022), ‘Reclaiming the Future - Reforming Social Investment for the next decade’ ↩

54. Social Enterprise Knowledge Central, (2023), ‘Mission Critical - State of Social Enterprise Survey 2023’ ↩

55. Social enterprises receiving Match Trading grants typically increased their income from trading by 34% within the first year; Access’s Enterprise Development Programme (EDP) almost universally improved the capacity of the organisations to trade that took part in its pilot year ↩

56. The enterprise development portion of a recent Access programme was oversubscribed by 3 times the amount available. Most requests were from social investors that primarily offer blended finance and saw this as an opportunity to reach different organisations, or support organisations in a different way, demonstrating the interest in entering this market. ↩

57. New Philanthropy Capital (2022), Review of grant subsidy for blended finance to support civil society (Commissioned by DCMS) ↩

58. Social Enterprise UK, (2021), ‘No Going Back - State of Social Enterprise Survey 2021 ↩

59. Adebowale Commission on Social Investment, (2022) ↩

60. Social Enterprise UK, (2021) ↩