Public Funding for Sync Savings Limited

The UK is facing a significant savings gap with nearly a third of adults having less than £1k in savings and of those with savings, £250Bn is sitting in accounts not earning any interest at all. People know they need to save, but don't because it's inconvenient and friction-packed. Even if they have savings earning interest, the money is typically held at the same, large bank where they hold their current account (due to convenience) and as a result these banks have no desire or need to offer competitive rates, and don't. By developing a first-of-its-kind platform, this project enables third-party apps to integrate FSCS-protected, interest-bearing savings accounts with no minimum deposit requirement, allowing users to manage savings effortlessly within apps they already use daily. This innovative approach not only simplifies saving for the less financially literate by embedding savings options directly at points of financial engagement and use behavioural nudges (such as 'default-in' payroll savings) to encourage saving, but also benefits mid-tier banks, mutuals and credit unions by significantly lowering their customer acquisition costs and improving financial liquidity. This project could transform the saving account landscape dramatically, creating hundreds of thousands of first-time-savers and offering substantial benefits to existing savers, the financial markets and the broader economy.