Designing a Life-Course Savings Account: How to help low-to-middle income families save more
This paper reports the results of research designed to identify the features of a savings account that would appeal particularly to low-to-middle income families while also being viable for financial service providers.
Families in the UK, especially low-to-middle income families – the median family income in 2008/09 was around £26,000 – find it hard to save, other than for short-term events such as Christmas and family birthdays. Among the reasons they give is a belief that the right savings vehicle does not exist for them.
Based on workshops with would-be service users and providers, this report identifies the key features of an attractive and feasible 'life-course savings account' and proposes two specific savings products: a Lifetime Bonus Savings Account, aimed at encouraging saving, particularly to help families cope with emergencies, and a Long-term Investment Account, designed to replace the existing cash ISA scheme for savers at a higher level. These kinds of savings products balance rewards for savers against the cost to the public purse.
Tony Dolphin, Senior Economist and Associate Director for Economic Policy
In the news
Inspired by guilty pleasures at the newsagent
Financial Times - 15 Jul 2011
The Isas have it
Money Marketing - 12 May 2011
You may be interested in...
IPPR in the news
Making it hard for politicians to ignore the young
Telegraph - 07 Mar 2014£100bn red alert over green energy gap
The Independent - 06 Mar 2014Impact of immigrants on British workers ‘negligible’
The Independent - 06 Mar 2014Will Straw on moving beyond coal power
Guardian - 04 Mar 2014
Ed Cox on Why London is such a powerful force in the UK (2.55 in)
BBC Today - 04 Mar 2014The north holds the key to a better economy
Manchester Everning News - 04 Mar 2014Net migration soars despite Cameron's pledge
Daily Telegraph - 28 Feb 2014NEET generation
The Independent - 27 Feb 2014
More BBC indie commissions, report says
Radio Today - 27 Feb 2014BBC boss wants to extend licence fee to cover iPlayer
Daily Mirror - 27 Feb 2014Scotland: Vote 'Yes' and lose the BBC
The Independent - 27 Feb 2014Indy Scotland would be a vote to “leave” the BBC
The Scotsman - 27 Feb 2014
Tony Hall: extend licence fee to cover iPlayer
The Guardian - 27 Feb 2014Maria Miller says independent Scotland would lose the BBC
The Guardian - 27 Feb 2014Hall vows to protect drama under further cost-cutting
The Stage - 27 Feb 2014Hall proposes licence fee extension to include iPlayer
BBC News Online - 27 Feb 2014
Harman at OMC: 'Daily Mail should apologise'
The Guardian - 27 Feb 2014Time to break London's grip on creative industries
BBC Wales Today - 25 Feb 2014UK's creative industries 'must back regional and ethnic diversity'
The Guardian - 25 Feb 2014Creative industries need to be freed from London's 'closed shop'
WalesOnline - 25 Feb 2014