Employee savings and share schemes get a lift

Marion Dakers
WORKERS will get the right to acquire up to £3,600 a year in share incentive plans, up from £3,000 currently, or £1,800 a year in partnership shares, from April.

As part of the government’s push for John Lewis-style partnerships, firms that offer employees a stake in the company will be able to share £25m in extra funding from next year, taking the total for this type of support to £75m.

And staff who save through employee schemes will be able to set aside £500 per month in such programmes from April, up from £250. The change is the first time in a decade that the savings limit has been lifted, as the government tries to encourage Brits to build nest eggs.

Carol Dempsey, reward partner at PwC, said the changes “will make a big difference to a significant number of UK companies and workers”.