May 25 2007
Ed Balls, economic secretary to the Treasury, has outlined the progress being made in the government's efforts to encouraging UK consumers to develop a savings habit.
Speaking at the newly opened Bristol Institute of Public Affairs, Mr Balls revealed that two pilot projects have achieved notable success in persuading people to put money aside for their own or for their children's future.
The principle behind the pilot schemes was that the government would match the contributions to savings accounts being made by consumers with the aim of stimulating a healthy habit of putting money aside.
Mr Balls made clear:"[It] is a simple and straight forward way to help people to save."
"The pilots have been overwhelmingly positive about the effect of matching as a targeted incentive to help people on lower incomes to save and teach them the habit and benefit of saving," he added.
Meanwhile, the government continues to encourage parents to secure the financial future of their offspring by investing in a designated child trust fund.
