Help to Save: Government scheme pays £220m in bonuses to savers since 2018

A little-known government savings account has paid more than £220 million in bonuses to savers since its launch in 2018, according to official figures. The Help to Save scheme has drawn 575,200 customers who together deposited £588.2 million into their pots, underscoring the program’s reach among low-income savers.

Help to Save is a government savings account that provides a 50p bonus for every £1 saved over four years. Savers can contribute between £1 and £50 each month and are not required to pay money in every month. Those who deposit the maximum £2,400 over the four-year period will receive a £1,200 bonus, with the government topping up at the end of the second and the fourth years of the account. The scheme’s structure is designed to build a savings pot while offering a tangible incentive to save consistently.

The Help to Save scheme was originally slated to end in September 2023 but has been extended twice. It was extended to April 2025 and, more recently, to April 2027. Among those who opened accounts, 94% deposited the maximum amount each month, illustrating strong participation by beneficiaries who were able to commit regularly to their savings.

Eligibility for Help to Save is targeted at people on lower incomes who receive certain benefits. You can open a Help to Save account if you’re receiving Universal Credit and your take-home pay in your last monthly assessment period was £1 or more. To claim Universal Credit you must be under the state-pension age and have £16,000 or less in money, savings and investments. If you receive payments as a couple, each partner may apply for their own account, and you must apply separately. You also need to be living in the United Kingdom to open the account. Money can be paid into Help to Save via a debit card, standing order or bank transfer. Contributions can be as low as £1 per month, up to £50, and you are not obliged to contribute every month. Withdrawals are permitted at any time, but doing so can affect the bonus payments, since the closer you are to the maximum balance, the greater the potential bonus portion.

Once opened, the account remains open for four years. After that period, it closes and you cannot reopen it or open another Help to Save account. However, you do keep whatever balance remains in the savings pot. The design of the scheme aims to provide a straightforward, government-backed way for eligible savers to build financial resilience, with the bonus acting as an added incentive for steady saving.

For savers evaluating simple paths to build a buffer, Help to Save offers a predictable structure and a defined timeline. Eligible individuals should consider whether the monthly limit fits their budget and whether the four-year horizon aligns with their longer-term financial goals. Prospective applicants should consult official government guidance to confirm current rules and any updates to eligibility or bonus arrangements.