Martin Lewis urges Brits to claim 50% savings boost with ‘unbeatable’ Government scheme

Martin Lewis has long been a champion of Help to Save, claiming ‘no other form of saving comes close’ to the Government scheme.

And now, the eligibility criteria has been broadened, meaning 550,000 more Brits could take advantage of a 50% boost to their pot.

In the latest edition of his newsletter, the Money Saving Expert (MSE) founder hails Help to Save as ‘by far the best-paying’ option, allowing people on low incomes to build up financial resilience ‘rather than being forced to access high-cost credit.’

​As of April 6, it’s open to all working Universal Credit claimants who earned £1 or more in their previous assessment period (whereas previously, there was an earnings threshold of £793 per month).

This brings the number of qualifying Brits to 2.7 million, although recent data suggests millions are missing out, and just 517,000 Help to Save accounts had been opened since its launch in 2018.

If you think you fit the bill, you have until April 2027 to apply — but given the range of benefits Help to Save offers, it makes sense to take advantage before the deadline. ​

According to Martin, the main draw of the scheme is that it gives ‘a 50% boost on what you save – even after you withdraw it!’

Essentially, it allows you to put away up to £50 a month and withdraw your money at any time. Then, after two years, you get a tax-free bonus of 50% on the most you had saved at any point.

‘So if you’d saved £800 (even if you had to withdraw it before the two years), you’d still get a £400 bonus,’ explains the consumer guru.

The maximum two-year bonus is £600, but you can then do it for two more years, with the second bonus ‘based on the difference between the highest balance in years three and four and the highest balance during the first two years’ up to an additional £600.

That’s a total of £1,200 extra for your nest egg — which Martin calls ‘unbeatable’ compared to traditional banks’ rates.

The only time he says Help to Save ‘may not be worth doing’ is if you have expensive debt like payday loans or poor-credit credit cards. In this case, consider trying to clear what you owe first.

Keep in mind too, the money you put into this account (excluding the bonus received from the Government) counts towards your overall savings balance – and if you have £6,000 or more put away, your Universal Credit entitlement and any Council Tax reduction can be reduced.

If your only savings are through Help to Save, you’ll be below the threshold, but your live-in partner also maxes it out, or you have other savings, that may push you over.