- Government’s Help to Save scheme now open to 550,000 more people to help with cost of living
- Those saving £50 a month can expect £25 Government top-up, putting more money in people’s pockets
- Part of Government’s mission to grow the economy and deliver on our Plan for Change
More than half a million more UK savers are in line for Government bonuses worth up to £25 a month to boost their cash pots and help ease rises in the cost of living, HM Revenue and Customs (HMRC) has announced today.
As part of the Government’s mission to grow the economy and improve lives in every corner of the UK and to deliver its Plan for Change, Help to Save is now open to anyone working and receiving Universal Credit – rewarding 550,000 more people.
Its extension to April 2027 means more can benefit from the scheme, which has paid out millions of pounds in bonuses to more than 500,000 people since Help to Save was launched in 2018.
This is evidence of the Government backing the most vulnerable in society with 93% of savers paying in the maximum £50 every month to their Help to Save account.
An account can be set up in less than 5 minutes and easily managed through GOV.UK or the HMRC app, making it accessible to people throughout the UK.
Savers who deposit the maximum amount of £2,400 over four years will receive a bonus totalling £1,200 into their bank accounts, with payments coming at the end of the second and final year.
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.
Myrtle Lloyd, HMRC’s Director General for Customer Services, said:
Thousands of customers have already benefitted from Help to Save and many more are now eligible to get a great return of 50% on top of their savings, no matter how little you can save each month. Go online or via the HMRC app to find out more and apply today.
Savers can deposit between £1 and £50 each month earning an extra 50 pence for every £1 saved, with bonuses paid in the second and fourth years of the account being opened. The bonus payment applies to the highest amount saved within the period.
Nearly 18,500 people opened a Help to Save account via the HMRC app in 2024. App users have access to their savings account at their fingertips. They can view their account, check their balance and bonus details, and make a deposit via debit card, bank transfer or standing order.
Money can be withdrawn at any time, although this may affect the 50% bonus payments.
Michelle Highman, Chief Executive of The Money Charity, said:
We are really pleased to see the Help to Save scheme extended and made available to more people. It’s a brilliant way for people to start to save and to build their financial resilience and futures. Saving even just a little each month will help, and the added 50% bonus payment from the Government means that if you are eligible, then it’s a great place to boost your savings.
Find out more about Help to Save at GOV.UK.
Further Information
- Latest statistics on Help to Save up to April 2024 were released in September 2024
| Number of Accounts Opened to end-April 2024 | Total value of deposits | |
|---|---|---|
| UK Total | 516,800 | £492,539,000 |
| England | 439,900 | £420,318,000 |
| North East | 22,750 | £20,668,000 |
| North West | 67,650 | £63,479,000 |
| Yorkshire and The Humber | 49,600 | £47,043,000 |
| East Midlands | 43,000 | £41,219,000 |
| West Midlands | 49,550 | £46,130,000 |
| East of England | 44,900 | £43,176,000 |
| London | 55,550 | £52,935,000 |
| South East | 60,500 | £57,563,000 |
| South West | 46,400 | £48,106,000 |
| Wales | 24,850 | £23,683,000 |
| Scotland | 36,050 | £33,584,000 |
| Northern Ireland | 15,650 | £14,700,000 |
Help to Save was launched in September 2018 and was due to end in September 2023. It was extended to April 2025 and has now been extended until April 2027.
Previous eligibility criteria meant savers had to be in receipt of Tax Credits or Universal Credit and be earning at least 16 hours a week at National Living Wage.
How the bonus payments work:
- after the first 2 years, customers will get a first bonus if they have been using their account to save. This bonus will be 50% of the highest balance saved.
- after 4 years, they will get a final bonus if they continue to save. This bonus will be 50% of the difference between 2 amounts:
- the highest balance saved in the first 2 years (years 1 and 2)
- the highest balance saved in the last 2 years (years 3 and 4)
- if their highest balance does not increase, they will not earn a final bonus.
- the bonus is paid into their bank account, not their Help to Save account.
