Certain recipients of universal credit (UC) are entitled to open
a help to save account, which pays a tax-free bonus of 50p for every £1 saved
into the account. The Low Incomes Tax Reform Group (LITRG) has pointed out that
new claimants of UC may be able to open an account even if they are not in a
position to save right away. Once the account is opened, the individual remains
eligible for the scheme for four years even if they subsequently cease to meet
the qualifying conditions. It may therefore be possible to take advantage of
the scheme when the financial situation improves, even though the individual is
at that point no longer claiming UC.
Certain recipients of universal credit (UC) are entitled to open
a help to save account, which pays a tax-free bonus of 50p for every £1 saved
into the account. The Low Incomes Tax Reform Group (LITRG) has pointed out that
new claimants of UC may be able to open an account even if they are not in a
position to save right away. Once the account is opened, the individual remains
eligible for the scheme for four years even if they subsequently cease to meet
the qualifying conditions. It may therefore be possible to take advantage of
the scheme when the financial situation improves, even though the individual is
at that point no longer claiming UC.
