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Government-backed help to save is aimed at working people on universal credit and pays 50p for every £1 saved over four years
Help to save is a government-backed savings account that lets people earn a bonus of 50p for every £1 they save over four years.
You can save up to a maximum of £50 each month in the account with the bonus paid (based on the amount saved) at the end of the second and fourth years.
The most you can pay in is £2,400 over four years (48 x £50), resulting in a maximum bonus of £1,200.
This account is now aimed at working people receiving universal credit, although eligibility is to be expanded: it will be opened up to parents and carers on UC from 2028.
Last week, the debt charity StepChange said the take-up of the scheme “remains far too low” and that millions could be missing out on a valuable opportunity to build a financial safety net.
On Monday, at the start of UK Savings Week (which runs until 27 September), HM Revenue and Customs took the opportunity to plug the scheme.
Lucy Rigby, the economic secretary to the Treasury, said: “Help to Save is a really beneficial scheme … We want more eligible people to take advantage of it.”
The latest figures show 656,700 help-to-save accounts have been opened since September 2018, with savers paying in a total of £676m. Meanwhile, 94% of those who have opened an account save the maximum amount of £50 each month.