The DWP says the schemes will help consumers review their finances and retirement planning in order to take steps to improve their future resilience.

The trials will help the DWP understand:

• The actions individuals could take as a result of undertaking the mid-life MOT
• The needs of those most at risk of long term unemployment
• The effectiveness of using local delivery channels and how these can work with the Money and Pensions Service (MAPs), the National Careers Service (NCS) and Public Health England (PHE), in supporting individuals with later life planning.

The DWP said the pandemic had caused many people to review their situation – including those wanting a fuller working life, those able to put more into their savings after a period of working from home, or those looking to improve their resilience for the future.

The government department said the “mid-life MOTs” will enable people to “identify the skills they will need for the job journey they want, helping them make more informed choices and build their future financial resilience.”

The funding will be given to 10 organisations to develop and trial the locally-led MOTs. 

• The 10 LEPs to receive grants of up to £40,000 are: Black Country, Coventry and Warwickshire and Greater Birmingham and Solihull (combined application); Heart of the South West; Humber; North East; New Anglia (Norfolk and Suffolk); Worcestershire; Cornwall and the Isles of Scilly; Cambridge and Peterborough; Dorset and Greater Manchester.

Minister for Pensions and Financial Inclusion, Guy Opperman, said: “It’s no secret I am a huge fan of this idea. While we started work on this before the pandemic, the last twelve months have bought people’s financial resilience into sharp focus – making a mid-life MOT a timely exercise for many.

“And it’s not just about retirement savings, but also about enabling people to enjoy a fuller working life by helping them understand the skills they will need to learn along the way.”