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My Government will also bring forward proposals to create Saving Gateway Accounts to encourage people on lower incomes to save more by offering financial incentives.
Queen's speech 2008, December 3 2008
First announced in the Budget 2008, the Bill aims to kick-start a saving habit among working-age people on lower incomes, by providing a strong incentive to save through a government contribution.
A saving gateway would also promote financial inclusion, by encouraging people to engage with financial institutions such as banks, building societies and credit unions.
The scheme was first proposed in the pre-Budget report 2001.
Since then it has been successfully piloted twice, first in 2005 and second in 2007.
The Act will permit financial institutions to offer saving gateway accounts and will set out the guidelines for the scheme.
To provide a strong incentive to save, the government announced at the Pre-Budget Report 2008 that it will contribute 50p for each pound saved in the scheme. Savers will be able to build up government contributions of up to £300.
Following the second pilot, then economic secretary to the Treasury, Ed Balls said: "Saving gateway is a simple and straight forward way to help people to save."
Progress
House of Commons
First reading: December 4 2008 [HC Bill 3]
Second reading: January 13 2009
Saving Gateway Accounts Bill Committee:
- 1st sitting: January 27 2009 (am)
- 2nd sitting: January 27 2009 (pm)
- 3rd sitting: February 3 2009 (am)
- 4th sitting: February 3 2009 (pm)
- 5th sitting: February 5 2009
- Bill as amended in Public Bill Committee: [HC Bill 57]
Second reading: March 17 2009
Grand Committee:
- 1st sitting: April 2 2009
- 2nd sitting: April 21 2009
- Bill as amended in committee: [HL Bill 37]
Report stage:
- 1st sitting: June 10 2009
- Bill as amended on report: [HL Bill 52]
Third reading: June 17 2009
Consideration of Lords amendments: July 1 2009 [HC Bill 118]
Royal Assent
July 2 2009: Saving Gateway Accounts Act
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