Thousands of teens could have £2,000 in forgotten savings accounts

Thousands of teenagers could be unaware they have an estimated £2,000 in a savings account they could have forgotten.

The government set up Child Trust Funds, or CTFs, in 2002 with children born between September 1, 2002 and January 2, 2011, qualifying for them.

The scheme gave parents and guardians vouchers to invest in their child's future, money they could move at 16 and access at 18.

However, 1.8million vouchers were not claimed - and so the tax-man invested it on their behalf - reports Mirror Online.

Now, as many of these children turn 18, it's emerged that 200,000 accounts - amounting to £400million - remain unclaimed.

On average, these contain £2,000 each, according to figures seen by the Daily Mail.

What is a child trust fund?

Under the scheme, parents and guardians with kids born between 2002 and 2011 received a voucher to deposit into a CTF account on behalf of their child.

Vouchers were worth between £50 and £1,000 depending on when children were born, as well as whether parents were on a low income at the time.

These needed to be invested in special CTF accounts provided by a variety of banks and investment companies, with parents choosing between a cash or stock and shares version.

Where parents failed to deposit vouchers, HMRC will have done so for them.

How much was put in?

The government initially put £250 into a tax-free account when the child was born, then added another £250 when he or she reached the age of seven.

For lower-income families, the payment was £500.

Parents, family and friends could also contribute to the account, up to set limits.

How much is in them now all depends on what the government put in in the first place, whether your parents added to it and any gains you’ve accumulated over the years.

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Is the scheme still running?

Child trust funds were set up by the Labour government to encourage parents to save for their children and give the future generation a good start in life.

The scheme was watered down, then scrapped entirely by the coalition government in January 2011.

It's since been replaced by Junior ISAs.

These are opened by parents and don't receive government cash, although interest is earned tax-free.

CTFs can no longer be opened but parents can continue to contribute to existing ones.

Teenagers can actually take control of their account from the age of 16, but can only withdraw money from it at 18.

How do I find out if I have a lost account?

According to HMRC figures, around 1.8million child trust fund accounts have been 'forgotten'.

Around 200,000 of these are now mature, ie ready to access, but unclaimed.

Child trust funds can be found using the Government Gateway service, which requires a login or registration. The child trust fund unique reference number, or national insurance number is also needed.

You will need a Government Gateway user ID and password. If you do not have a user ID, you can create one when you fill in the online form.