As the job-market grows darker every day for young workers, it’s always fantastic news to see that someone out there is thinking about the bottom tier of employees. While it’s always worth taking governmental initiatives like these with a pinch of salt, the ‘Help to Save’ scheme for young workers might be the helping-hand a lot of low-income workers need right now.
People on low incomes will be eligible for bonuses of up to £1,200 over the course of four years using this new savings scheme, Sky News reports. The ‘Help To Save’ initiative will help around 3.5 million workers.
By putting away up to £50 a month, low-income workers will receive bonuses of up to 50% that’s capped at £600 for every two years.
This is following some frightening research that suggests that almost half of Britain’s adults have less than £500 set aside for emergencies.
Speaking on the introduction of ‘Help To Save’, David Cameron said: “these new measures will achieve – helping someone start a savings fund to get them through difficult times, giving people on low incomes a pay rise and making sure teenagers have the experience and networks to succeed.”
What’s frightening is that although the ‘help to save’ initiative will help a lot of young people, this news comes around the same time as George Osbourne has suggested that the government is expecting to make cuts of up to £4 billion over the next four years.
Many others are sceptical of this initiatives validity. Browsing over the comment section, always a risky endeavour, I found that a lot of people were questioning how this initiative fits in with those already on workers benefits, will it make some ineligible to their benefits if they opt for this savings program?
Others are arguing that low-pay workers can’t spare the £50 a month, especially if they have children. What do you make of this? Good idea or another last-ditch attempt from Cameron to win over the working people?