Special savings accounts off to slow start

Despite massive marketing campaigns by all the major financial institutions only 230,000 people or 10 per cent of the population…

Despite massive marketing campaigns by all the major financial institutions only 230,000 people or 10 per cent of the population have bought a Special Savings Incentive Account (SSIA), according to a survey published today by Hibernian Insurance.

Of the accounts opened so far the average monthly saving is £119 with over 70 per cent being deposit accounts.

Commenting on the survey Mr Grant Barran, managing director at Hibernian Life & Pensions said the results confirmed that take up of the government savings scheme had been slower than expected.

However a large number of people appear to be willing to wait and see before investing in the scheme. Of the 90 per cent of respondents who said they were aware of SSIAs, 13 per cent said they will definitely open an SSIA while another 22 per cent said they will probably open one.

READ MORE

Almost a quarter of those interviewed said they will definitely not be opening an account.

Those mulling over opening an account should remember that the closing date for the scheme is April 30th 2002. Mr Barrans noted that 44 per cent were unaware of this deadline.