The UK government’s Help to Save scheme offers Universal Credit and Working Tax Credit claimants a chance to boost their savings with a £1,200 bonus over four years.
With rising living costs, this scheme provides crucial support for low-income earners, helping them save for emergencies and future expenses. Here’s how you can apply, qualify, and make the most of this unique savings opportunity before the April 2025 deadline.
Scheme Overview
The Help to Save scheme is a savings incentive program designed to encourage long-term saving habits. It rewards participants with a 50% bonus on their savings, paid out in two stages—at the end of the second and fourth years. If you save the maximum amount allowed, you can earn a total bonus of £1,200.
| Key Information | Details |
|---|---|
| Scheme Name | Help to Save |
| Maximum Bonus | £1,200 over four years |
| Eligibility | Universal Credit & Working Tax Credit claimants |
| Monthly Savings Limit | £1 to £50 per month |
| Bonus Payment Schedule | End of 2nd and 4th years |
| Application Deadline | At least until April 2025 |
| Official Resource | GOV.UK Help to Save |
Government
The Help to Save scheme was introduced to help low-income individuals build financial stability. Many Universal Credit claimants struggle to save due to tight budgets, leaving them vulnerable to unexpected expenses.
The government hopes this program will encourage people to create a financial cushion for emergencies and reduce reliance on payday loans or crisis borrowing.
The program’s goals include:
- Promoting financial resilience
- Encouraging long-term savings habits
- Reducing financial stress for low-income households
Save Scheme Work
The scheme offers a 50% bonus on your highest balance over the four years. Here’s a step-by-step explanation of how it works:
Deposit Monthly
You can save between £1 and £50 each month. There’s no requirement to save every month—deposit money when you can.
Earn a 50% Bonus
- After 2 Years: You receive 50% of your highest savings balance as a bonus.
- After 4 Years: You get another 50% bonus on any additional savings made since the second year.
Maximize Your Bonus
The maximum bonus is £1,200. If you save £50 per month (a total of £2,400 over four years), you’ll receive the full bonus.
Who Is Eligible
To qualify for the scheme, you must meet one of these conditions:
- Receive Universal Credit and have a monthly income of at least £722.45 in your last assessment period.
- Receive Working Tax Credit (or be entitled to it along with Child Tax Credit).
- Be a UK resident.
Important Update
The scheme will be expanded in April 2025 to include all working Universal Credit claimants, regardless of income level.
How to Apply
Applying for Help to Save is quick, simple, and free. Follow these steps:
- Visit the GOV.UK Website
Go to www.gov.uk/get-help-savings-low-income. - Sign in with Your Government Gateway Account
If you don’t have one, you can create a Government Gateway ID during the application process. - Provide Your Details
Enter your National Insurance number, bank details, and benefit information. - Start Saving
Once your account is open, you can begin depositing money.
Application Deadline: The scheme is open until at least April 2025, but applying early will help you maximize your bonus.
Financial Planning Tips
To get the full £1,200 bonus, follow these smart savings strategies:
Automate Your Savings
Set up a standing order to ensure you save regularly without forgetting.
Save What You Can
Even if you can’t manage £50 each month, smaller savings still earn a bonus. Every little bit helps!
Avoid Frequent Withdrawals
Since your bonus is based on your highest balance, avoid withdrawing money to maximize your earnings.
Combine with Other Schemes
Consider combining Help to Save with a Lifetime ISA or credit union savings plan to grow your savings even further.
Final Thoughts
The Help to Save scheme is an amazing opportunity for eligible claimants to grow their savings with minimal effort. With a generous £1,200 bonus up for grabs, there’s no reason to miss out.
Start saving today and secure your financial future. Apply now before the April 2025 deadline and take the first step toward building a stronger safety net!
FAQs
What is Help to Save?
Help to Save is a UK government savings scheme offering a 50% bonus on savings for eligible Universal Credit and Working Tax Credit claimants.
Who can apply for Help to Save?
Universal Credit claimants with a monthly income over £722.45 or those on Working Tax Credit can apply.
How much can I save monthly?
You can save between £1 and £50 per month, with no requirement to save every month.
When do I receive the bonus?
Bonuses are paid after the 2nd and 4th years of the scheme.
What happens if I withdraw money?
Withdrawals reduce your highest balance, which lowers your bonus amount.
