Hundreds of millions of pounds are to be withdrawn from dormant bank accounts and distributed to worthy causes.

The Dormant Bank and Building Society Accounts Bill, announced in the Queen's speech on Tuesday, means banks will no longer be able to hold cash in accounts left dormant for more than 15 years.

The government plans to legislate to meet a 2005 manifesto commitment, with banks and building societies pressed to transfer assets to charities and the voluntary sector.

The Bill includes provisions for the original owners to be able to reclaim their assets if they track them down at a future date.

It has been estimated that the total value of lost assets in the UK is £15.3bn. The most common reason for funds left unclaimed is failure to notify a bank of a change of address, or when someone dies without telling relatives about their savings.

In England the funds will be concentrated on youth services and financial inclusion and capability - ensuring those on low incomes can make best use of financial services.

The administrations in Scotland and Wales will make their own decisions on how to spend the money.

The bill will give financial institutions - which benefit from unclaimed assets boosting their balance sheets - the power to divert assets, but will not require them to do so.