Policy changes increase funds available
RFL's board approved the transfer on July 8, 2026, according to Civil Society News. The allocation is the largest for a single financial year in the organization's 15-year history and more than double the £143 million pledged in the year ended March 2025.
RFL attributes the increase to substantial transfers of dormant assets during the year and changes to its Capital and Reserving Strategy. The report says its former approach would have produced a £185 million distribution provision; revisions to the capital strategy and distribution policy doubled that amount.
The revised strategy ties the provisions and capital RFL retains more closely to its risks. As Civil Society News explains, a risk-based model determines how much RFL needs to cover future customer reclaims and withstand severe stress events. Assets exceeding those requirements can be released for good causes, while owners retain the right to reclaim their money indefinitely.
Adrian Smith OBE, RFL's chief executive, said: "This report tells a story of responsible growth. We have unlocked more funding for good causes, opened the Scheme to a new sector and continued to honour our first responsibility: protecting dormant asset owners. I am proud of the expertise and partnership that made these achievements possible."
Transfers and customer reclaims
Since the scheme began, RFL has received more than £2.4 billion in transfers. It has also returned £208 million to account holders through 243,000 reclaims. Participation now stands at 62 firms across all sectors.
UK Fundraising describes the scheme as allowing banks and building societies, along with insurance, pension and investment providers since 2023, to transfer the value of accounts dormant for at least 15 years to RFL. RFL reserves a share to cover future reclaims and directs the remainder to good causes, primarily through the National Lottery Community Fund and equivalent bodies in Scotland, Wales and Northern Ireland.
Investment firms join the scheme
The report also records the opening of the scheme to the Investment and Wealth Management sector during the year. Its first four participants were Jupiter, Schroders, J.P. Morgan and Janus Henderson. Their participation followed extensive work involving RFL, the government and the Investment Association.
The Investment Association issued a guide in 2025 explaining how the scheme works and helping firms prepare to participate.
RFL sets out specific dormancy rules for this sector: unclaimed cash investments qualify after an owner has been "gone-away" for six years, while unclaimed invested assets qualify after 12 years. For dormant invested assets, RFL guarantees the underlying investment's market value.
Law firm Addleshaw Goddard, which advised RFL on the expansion's legal, regulatory and operational aspects, said it could release an additional £440 million. That potential funding would support financial inclusion, financial capability and other initiatives in the government's 2025 Dormant Assets Strategy.
Projects supported by dormant assets
Among the report's examples, Nuneaton Signs used funding to expand its operations, increasing production capacity by 144%. Hydra Arts received £82,404 for an international creative project involving young people.
Miss Macaroon is taking part in a program intended to improve employment support for marginalized young people.
