HMRC has urged Brits to check their eligibility for a savings account paying a 50% bonus. The Help to Save account is designed to support Brits on low incomes to build a savings buffer.
Account holders will earn an extra 50p for every £1 they save, meaning they could receive up to £1,200 over four years. In a post on Wednesday, HMRC urged: “Help to Save is here to stay – and more families can benefit. The scheme has been made permanent, and from April 2028, up to 1.5 million more families will be eligible thanks to expanded criteria. That means more support for those on low incomes, including people on Universal Credit with caring responsibilities. Check your eligibility…”
It is available to UK residents receiving Universal Credit who have had a take-home pay of £1 or more in their last monthly assessment period. However, finance experts highlighted that many eligible Brits are missing out on the scheme.
Chartered financial adviser at Bromley-based Palantir Financial Planning Ltd, Eamonn Prendergast, described Help to Save as “one of the best-kept secrets in personal finance”.
They added: “A 50% Government bonus, worth up to £1,200 over four years, is unbeatable, yet awareness remains low.”
Savers can deposit between £1 and £50 each month into the account, up to a maximum of £2,400 over four years. It is easy access, so account holders can withdraw money if they need to.
After the first two years, account holders will get a 50% bonus on their highest balance. After four years, savers will get a final 50% bonus, calculated based on the difference between the highest amount in the first and last two years.
For example, if someone pays the maximum of £50 each month to reach £1,200 after 2 years, they would receive a £600 bonus. If they continue to pay in at the same rate, they will receive another £600 at the end of the term.
Lucy Rigby, economic secretary to the Treasury, said: “The Government’s Help to Save scheme has boosted the savings of over half a million people across the country to the tune of £220million. We’re committed to helping families build financial resilience and putting more money in the pockets of working people.”