21 Businesses, representing around 400,000 employees, unite to boost employee savings through a government-backed coalition
Today, the employer-led National Coalition for Workplace Savings officially launches with the support of Her Majesty Queen Máxima of the Netherlands, the United Nations Secretary-General’s Special Advocate for Financial Health (UNSGSA), and Rachel Blake MP, City Minister and Economic Secretary to the Treasury.
Led by a steering group of 18 leading employers representing a range of sectors, including retail, hospitality, transport, facilities management, the public sector and charities, the Coalition aims to support more UK adults to save regularly through workplace saving schemes. Alongside an additional 3 employer signatories, collectively the Coalition employs about 400,000 people and includes organisations such as the Co-op, First Bus, Next, the Department for Environment, Food and Rural Affairs (DEFRA), Travelodge, Mitie and StepChange.
The Coalition will work to increase the number of UK employees accessing and benefiting from workplace savings by championing uptake, sharing best practice and supporting innovation over the coming years. The Coalition was initiated through the Government’s Financial Inclusion Strategy.
The Coalition is calling on employers across the UK to join as signatories, implement workplace savings schemes to bolster their employees’ financial security, and work together to increase participation rates in those schemes to support people to save.
At a time of rising costs, emergency savings offer vital protection when a large bill, a broken-down car or the costs for a school trip suddenly appear.
Workplace savings schemes support employees, particularly those with little or no emergency savings to protect them, by making it easier to put money aside regularly. Workplace savings can lead to increased productivity through improvements in job satisfaction, attentiveness at work, retention, and reduced sickness and absences. They better enable people to focus on their work by reducing money worries, as well as being supportive of financial security, mental health and wellbeing.
During the launch event, senior business leaders and policymakers will explore the role companies can play in strengthening financial resilience across the workforce, including the benefits of workplace savings for employers and employees alike, practical approaches to implementing payroll savings schemes and how the UK compares with its international peers. Her Majesty Queen Máxima of the Netherlands will speak at the event in her United Nations capacity, highlighting her global experience supporting financial health initiatives like workplace savings.
The National Coalition for Workplace Savings is convened by the Money and Pensions Service, Nest Insight and The Investing and Saving Alliance (TISA).
Rachel Blake, Economic Secretary to the Treasury said:
“Everyone should have the opportunity to build financial resilience, but we know that when household budgets are stretched, saving can be difficult.
The Government’s Financial Inclusion Strategy creates more opportunities for people to save through workplace savings schemes. Working with employers across sectors, this Coalition will help make workplace savings schemes easier to access and support more working people to build regular savings habits and a financial safety net. I strongly encourage employers to get behind this scheme today.”
Claire Costello, Chief People Officer at the Co-op Group and the Coalition’s Chair, commented:
“Building consistent saving habits is an important part of improving financial resilience across the UK. With growing evidence of the benefits provided by workplace saving schemes, this collective of employers, supporters and partners will help more people build a financial safety net. By making saving easier and more accessible, workplace saving schemes could transform the savings landscape, and I am excited to work with all involved as the Coalition progresses.”
Sarah Williams, Chief People Officer at OCS UK & Ireland added:
“For many colleagues, the gap between a manageable month and a difficult one comes down to whether something unexpected happens. A broken car, a school trip, an appliance that needs replacing. Workplace savings schemes work because they’re built around the realities of how people actually live. OCS joined this Coalition because colleague financial wellbeing sits at the heart of what it means to be a responsible employer, and progress at this scale only comes when employers commit to acting together.”