The council is planning to pass the funds to the Heart of England Community Foundation, a grant giving organisation in the West Midlands that last year distributed more than £130,000 to projects in Sandwell.
The Sandwell Community Fund will help promote the long-term well-being of residents in the area and is expected to launch in autumn 2018.
Councillor Simon Hackett, cabinet member for children’s services, said: “It is fantastic news that we can free up this money to create an active community fund to help children and young people in Sandwell who need support to improve their chances in life.”
The council’s cabinet will consider a report on the proposal at its meeting on 16 May.
The dormant funds are from a mixture of registered charities and trusts set up some years ago by local dignitaries and businesses – including Akrill, Kendrick and Wilson, Albright and Mitchells and Butlers.
The Charity Commission is keen to see the release of dormant trust funds locked in local authorities around the country.
Heart of England Community Foundation is well placed to ensure that the new Sandwell Community Fund is a success, with a strong track record in managing endowment funds and distributing grants to voluntary and community organisations.
For further information please contact:
Sandwell Council Communications Unit
0121 569 3031
Source: Sandwell Council