Saving Gateway
The measure
The Government has announced that the Saving Gateway (a Government supported savings scheme) is not affordable given the need to reduce the UK deficit. It will, therefore, not be introduced in July 2010 as originally planned. The Government had planned to add 50p for each £1 saved by individuals claiming certain allowances once the account has been open for two years.
Who will be affected?
Those individuals who are of working age and on lower incomes, who were eligible to take advantage of the Saving Gateway scheme.
When?
This scheme will not be introduced in July 2010 as originally planned.
Those individuals who were hoping to benefit from the Saving Gateway scheme could now consider, in appropriate cases, maximising alternative tax efficient savings such as Individual Savings Accounts (ISAs).
