About £1.5m sitting in Oxfordshire's so-called 'dormant' bank accounts could be seized by the Government.

Banks and building societies have launched campaigns to try to reunite savers with their money, including Halifax Bank of Scotland, which has discovered it holds £25.7m in forgotten accounts nationwide.

In Oxfordshire, the bank has more than £300,000 in accounts — with one in Oxford containing £54,000.

The bank's appeal for people to claim the money comes after the Dormant Bank and Building Society Accounts Bill received its second reading in the Commons, which would entitle the Government to seize the cash for charitable purposes after 15 years.

HBOS found 824 dormant accounts in Oxfordshire, ranging from relatively small amounts to single deposits of £54,143 in Oxford and more than £17,000 in Witney and Banbury.

The amount lying untouched in all high street banks in Oxfordshire is estimated to be about £1.5m, while nationally the figure is believed to be about £150m.

An account is classed as dormant when a bank or building society has had no contact with the account holder for three years.

Under the new legislation, deposits untouched for more than 15 years could be transferred to charities to fund financial advice and training for young people.

A Treasury spokesman stressed some of the money would be set aside to recompense savers who approached their bank after the deadline.

Treasury minister Yvette Cooper said: "The bill offers a historic opportunity to unleash the potential of money in dormant bank accounts to deliver social benefits."

* To find out if you have a forgotten account, see halifaxlocateaccounts.co.uk or boslocateaccounts.co.uk or mylostaccount.org.uk * If you have recently found a dormant account, please call our newsdesk on 01865 425500, or email news@oxfordmail.co.uk