A savings scheme helping low earners to build a financial buffer is set to be made permanent from 2028.

As the Budget looms on Wednesday, Chancellor Rachel Reeves is expected to announce that the Help to Save scheme, which was set to end in 2027, will be made permanent and opened up to parents and carers on universal credit from 2028.

Help to Save is a type of savings account which allows certain people receiving universal credit to get a bonus to boost their pot.

The scheme allows eligible savers to put away up to £2,400 over four years which is bolstered by a £1,200 government bonus.

A Treasury source said the Chancellor wants to “help millions more working people build a savings habit”.

Help to Save allows savers to put up to £50 a month into a Help to Save account, for four years,

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