Parents are losing out on more than £10 million in unclaimed Government handouts, it emerged today.

A new scheme aimed at giving financial help to people in early adulthood means that every child born after September 1 2002 is entitled to a £250 voucher.

In Brighton and Hove there are about 7,453 children eligible for the vouchers. But Brighton-based child trust holder Family Investments said almost three quarters of parents given the vouchers have not opened accounts yet.

This means they are losing out on £1.3 million, while the figure for the whole of Sussex is thought to be more than £10 million.

Under the scheme, the £250 belongs to the child and he or she can only access it when they reach 18.

In the meantime additional payments of up to £1,200 a year can be made to boost the savings.

Mark and Gillian Heath from Hove have a 21-month-old daughter Zoe and have started building her a nest egg.

Mr Heath, an IT manager, said: "These days sending a child to university costs a fortune and is likely to cost so much more when Zoe is old enough to attend.

"I can't believe how many accounts haven't been set up yet.

It's a staggering amount, especially as it is so easy to do."

Wayne and Natalie Andres, from West Hove, have already invested their ten-month-old Calum's voucher.

Mrs Andres said: "If we hadn't been given the voucher we probably wouldn't have got round to financially planning for Calum's future just yet.

"We're hoping in a few years' time the scheme will help Calum understand money and the benefits of saving at an early age."

If accounts have not been set up within 12 months of being sent, the Inland Revenue choose where to invest them on a rota basis.

This means a loss of interest which would affect the final value of the fund.