More than £139 million (€176 million) has been lying untouched in around 800,000 Irish bank accounts for more than 15 years, according to the latest estimate from the Department of Finance. The figure, published yesterday, revises an earlier estimate of £116.5 million given to the Public Accounts Committee in the course of its investigation into DIRT. The committee wants legislation drawn up so that the State can gain access to this money. The Minister for Finance, Mr McCreevy has consulted the financial services sector on the issue and will shortly be bringing proposals to Government.

The legislation will define dormant accounts and also set a period after which untouched accounts are deemed dormant.

In a letter to the chairman of the PAC, Mr Jim Mitchell, the Department sets out four possible time-frames: 20 years, 15 years, 10 years and five years. The estimated amounts considered to be dormant for these periods are £53.6 million, £139.5 million, £469.2 million and £1,739 million respectively.

In all cases the figures are larger than previously thought and reflect the fact that updated figures have been supplied for a number of banks and building societies by the Irish Mortgage and Savings Association. The figures include national savings certificates, which by definition tie up money for long periods. More than £733 million in post office savings certificates is counted in the £1,739 million that is five years dormant.

The Department of Finance points out that the tables should be interpreted with considerable caution. "Given the long-term nature of savings, it is quite normal to have years of inactivity on savings accounts," said Mr John Hurley, the secretary general of the Department in the letter to Mr Mitchell. He adds that the notification process that will accompany any moves by the State to access the money will trigger the reactivation of many accounts.