Fresh data from the Department for Work and Pensions (DWP) reveals that there are now eight million people claiming Universal Credit. Yet, many working claimants might not realise they could be eligible for a unique bonus of up to £1,200 to boost their savings and help build financial resilience for the future.
Thanks to a rule change at the start of the new financial year, three million Universal Credit claimants are now eligible for the 'Help to Save' scheme. The extension of the scheme until April 2027 means more low-income people can benefit from the scheme, which has already paid out millions in bonuses to over 500,000 people since its launch in 2018.
Savers who deposit the maximum amount of £2,400 over four years (£50 per month) will receive a bonus totalling £1,200 into their bank accounts, with payments made at the end of the second and final year. The Help to Save scheme allows people to save between £1 and £50 each month, with an added bonus of 50p for every £1 saved.
You can withdraw money at any time, but keep in mind that this could affect your 50% bonus payments. The bonus is calculated based on the highest amount held in the account. With the app, you can easily view your account, check your balance and bonus details, and make deposits via debit card, bank transfer or standing order.
You're eligible to open a Help to Save account if you're on Universal Credit and you (along with your partner if it's a joint claim) had take-home pay of £1 or more in your last monthly assessment period. Your take-home pay is what you earn after deductions (like tax or National Insurance).
