Let’s face it – saving money is easier said than done. Whether it’s the rising cost of living or the endless list of expenses, many of us struggle to build up a financial cushion. In fact, around one in four UK adults has less than £100 in savings. One in six has no savings at all1.
But what if saving could be effortless?
That’s exactly what opt-out workplace saving is aiming to do – and it’s proving to be a game-changer.
A smarter way to save
Research from Nest Insight2 has shown that opt-out workplace savings schemes could be the key to helping more people build financial resilience.
Here’s how it works: rather than having to opt in and go through the hassle of setting up a savings account, you’re automatically enrolled by your employer. If you don’t want to save, you can simply opt out.
This small change in approach from opt-in to opt-out has made a huge difference. In real-world trials with Bupa, Co-op and SUEZ, participation in savings rose from 1% under opt-in models to nearly 70% with opt-out schemes3. That means more people were able to build a buffer for life’s unexpected costs – without doing anything at all.
Who benefits?
The opt-out approach isn’t just convenient – it’s inclusive. It’s especially effective for people who have never had savings or who lack confidence managing money. Over 80% of opt-out savers didn’t have a £1,000 savings buffer before joining. Now, they have a pot of cash to dip into if the need arises.
One participant of the trials put it simply: “Now I have savings. I’ve never had savings before – that’s a nice feeling. I didn’t have to do anything. It was all set up for me.”
What about employers?
Money worries affect over a third4 of UK employees’ ability to do their job, costing UK businesses an estimated £10.3 billion per year5. Employees with a financial safety net are more focused, less stressed, and more productive. Feels like a win-win, doesn’t it?
Flexible, friendly and fair
The best part? It’s all on your terms.
- Your savings are held in easy-access, fee-free accounts.
- You can change how much you save or stop any time.
- You can withdraw your savings whenever you need – no penalties.
- And don’t worry – your employer won’t see or have access to your savings.
And people love it. 91% of employees surveyed said they felt happy or neutral about being automatically enrolled – even if they didn’t choose to save.
Want to find out if your employer offers this kind of scheme? Ask your payroll team. If they don’t – suggest it! Making saving easier benefits everyone.
