Yesterday, The Money Charity submitted its response to the Treasury’s consultation on Help to Save (HTS), a proposed new type of savings account for Universal Credit recipients that would top up deposits by up to 50%.
We welcome the introduction of HTS. When 46% of household have savings worth less than £1,500, action is needed. The proposed scheme, along with other interventions can improve life chances and decrease reliance on high cost, short term credit.
But it is important not only that HTS be introduced, but that it be administered and designed in a way that works for the consumers it is aimed at. We therefore call for a scheme that is delivered as much as possible through consumers’ existing banks and designed in a way that builds flexibility and simplicity as well as the incentive to save.
To read our full response, click here.