The Money and Pensions Service (MaPS), the money and pensions guidance and debt advice service provider, has put together a new charter, the UK Savings Charter, to help improve financial well-being among customers.
Working with a range of savings providers, the Charter provides the opportunity for savings providers to amplify what they are already doing to raise the profile of savings and inspire them to signal what they intend to do in accordance with its commitments.
These include:
Publicly demonstrate a commitment to building financial security through savings
Support individuals to save by understanding their financial situation and goals
Give people access to their savings buffer when they need it
Keep customers informed about their savings and their options as customers
Talk about saving in local communities, and places of education and work where they operate
Michael Royce, savings lead at the Money and Pensions Service said: “All our evidence shows that a more widespread habit of regular saving would be transformational for the nation’s financial wellbeing.
“The UK Savings Charter provides an opportunity for financial service organisations to demonstrate their commitment to building consumers’ financial security through savings.
“The Charter also provides a way for firms to think strategically about savings across all their retail and community-based operations. They can do so through direct consumer channels, in schools and other educational institutions. This is in addition to faith and community groups, and via employers.”
Working towards a better future
Money management struggles have been optimised by the cost of living crisis. To address this, the Charter is being rolled out to help the 11.1 million working-age adults on low to modest incomes who do not save regularly. Through the UK Strategy for Financial Wellbeing, MaPS aims to create two million new savers of working age on low to modest incomes by 2030.
MaPS is encouraging savings providers to sign up for the Charter and raise the profile of savings and financial wellbeing to consumers, creating a Nation of Savers. NatWest Group and the Yorkshire Building Society are the first two organisations to sign up to the pledge.
Signing up
Mo Watt, savings expert at NatWest Group
Mo Watt, savings expert at NatWest Group said: “In 2020, we set out to help two million customers start to save by the end of 2023 – we’re happy to have reached this goal but know there’s more to do to help people build good savings habits. We’re really pleased to be the first signatory of the MaPS UK Savings Charter after being at the heart of its design.
“Signing the Charter provides an opportunity for us to demonstrate our continued commitment to help people start to save and focus on their financial wellbeing. We look forward to working together with the savings industry and MaPS to help build a nation of savers.”
Chris Irwin, director of savings at Yorkshire Building Society
Chris Irwin, director of savings at Yorkshire Building Society also said: “At Yorkshire Building Society we are committed to helping people build financial resilience and work towards their financial goals. Research shows that people who save regularly are generally less anxious about money. They also report greater life satisfaction, regardless of income.
“We are proud to sign up to the Charter, confirming our commitment to help people save. No matter their age, situation and savings experience, we want to help the UK become a Nation of Savers.”
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