50% Bonus Help To Save Scheme Reminder as Eligibility Numbers Rise

A press release from HMRC has confirmed that 550,000 more people are now eligible to save in the government’s low income help for savers to boost overall income as the cost living rises use their ‘Help to Save’ scheme.

The scheme is available to those that receive Universal Credit and you (with your partner if it’s a joint claim) had take-home pay of £1 or more in your last monthly assessment period i.e., you must be in low paid work and eligible for Universal Credit.

Help to Save Benefits

• Minimum savings of £1 pm and maximum savings of £50 pm.
• 50% savings bonus.  For every £50 you save, the government will top this up by £25.  That’s 50% interest on your savings.
• The maximum you can save is £50 pm (£600 pa) over a 4-year period.
• Therefore, maximum savings £2,400 and massive, maximum government bonus of £1,200 (£600 paid at end year 2 and £600 paid at end year 4).
• You only need to be eligible on the day you open the account.  If subsequently, you move into higher paid work and come off Universal Credit, you can still save for the maximum 4 years.

Help to Save was launched in 2018 and has been extended until April 2027, so time is still on your side to open a Help to Save account if you work and receive Universal Credit.

Emma Reynolds, Economic Secretary to the Treasury, said:  “Security for working people is at the heart of our Plan for Change. We want more people to have a bit in the kitty for a rainy day, which is why we are giving hundreds of thousands more working families on tight budgets access to this support.

Comment

Only 18,500 people opened a Help to Save’ account via the .gov app in 2024, so there is plenty of room for more eligible savers.  At 50% savings bonus, if you are eligible, you should try and save, even if it is just £10 pm, to encourage you to build up a small emergency fund as well as getting into the habit of saving.

See Get help with savings if you’re on a low income (Help to Save): How it works - GOV.UK and

Apply Online Get help with savings if you’re on a low income (Help to Save): How to apply - GOV.UK