Cuts Watch #90: Savings Gateway for low income workers
Today’s Budget included the announcement that the Savings Gateway, due to be introduced next month, has been cut. This progressive scheme aimed to support people of working age on lower incomes. The Government would have added 50 pence for each £1 saved into Saving Gateway accounts. For a Government keen to promote hard work and to reward savers, this is a surprising turn around and a painful cut for those on very low incomes. The evaluation of the pilot scheme suggested that it had received an overwhelmingly positive response, and that the scheme had kickstarted people into making savings and that there were real improvements in financial inclusion.