Millions of families on low incomes are being urged to check if they could pocket up to £1,200 in free bonus cash from the Government.
HMRC has confirmed its Help to Save scheme is now permanent – and from April 2028 up to 1.5 million more families will become eligible under expanded criteria.
That means more support for people on Universal Credit, including those with caring responsibilities, who could see their savings boosted by a hefty 50% Government bonus.
In a social media post, HMRC said: “Help to Save is here to stay – and more families can benefit. The scheme has been made permanent, and from April 2028, up to 1.5 million more families will be eligible thanks to expanded criteria.”
How the scheme works
Help to Save is a Government-backed savings account aimed at working households on low incomes. It pays a bonus of 50p for every £1 saved over four years – effectively a 50% return funded by taxpayers.
Savers can put away between £1 and £50 a month, up to a maximum of £2,400 over four years. The maximum bonus available is £1,200.
Key limits at a glance
Maximum monthly saving £50
Maximum total saving (4 years) £2,400
Bonus rate 50%
Maximum total bonus £1,200
All savings in the scheme are backed by the Government, meaning deposits are secure.
Who can apply?
You can open a Help to Save account if:
- You are receiving Universal Credit
- You (or you and your partner) had take-home pay of £1 or more in your last monthly assessment period
- You live in the UK
Couples claiming Universal Credit can both open their own account, but must apply separately. Crucially, if you stop claiming benefits after opening the account, you can continue saving until the four-year term ends.
Will it affect your benefits?
For many households worried about breaching savings limits, there is reassurance.
If you or your partner have £6,000 or less in personal savings, this will not affect how much Universal Credit you receive. This includes money held in Help to Save.
The bonuses themselves also do not affect Universal Credit payments. The same £6,000 threshold applies to Housing Benefit, and Help to Save bonuses do not count against it.
Withdrawals warning
Savers can withdraw money at any time – but doing so could reduce the bonus they receive.
Taking cash out makes it harder to build the “highest balance” used to calculate the 50% bonus.
Close the account early and you will miss out on your next bonus and will not be able to open another Help to Save account.
What’s changing in 2028?
From April 2028, eligibility will expand, making up to 1.5 million additional families able to apply.
The move makes the scheme permanent, ending previous uncertainty over its long-term future.
For households juggling rising bills, the scheme offers one of the most generous guaranteed returns available anywhere – a Government-backed 50% boost that would be impossible to match in the normal savings market.
Details of the scheme can be found here.
