Savers are being invited to participate in a new 2025 challenge by Monzo, the innovative UK bank with over 11 million customers, which will help them tuck away a neat £700 cash pot by year-end.

The challenge operates on a simple concept: it begins by saving 1p on day one and then incrementally increases each day-2p on day two, and so on-culminating in £667.95 by day 365.

Monzo's challenge has received endorsements from leading money-saving gurus including Martin Lewis, and prides itself as the first of its kind to offer a fully automated version in the UK.

Under the challenge, by the thirtieth day, participants will have saved £4.64, reached £168.36 halfway through, and topped up almost £668 by the last day.

The digital-forward bank is opening the doors for both new and current customers to opt into the ingenious savings strategy by January 31, providing a frictionless experience where small amounts automatically shift from their main account into a dedicated "challenge pot" within their banking app.

Throughout the journey, people can keep an eye on their growing savings, and if needed, pause the challenge, making up for any missed days later.

Previously, Monzo offered the chance to engage in the challenge but required a separate app download that enabled users to set rules for transferring funds. Now, they've simplified the process, making 2025 a groundbreaking year for effortless saving right at people's fingertips.

AJ Coyne, the vice president of marketing at digital banking trailblazer Monzo, emphasised the benefits of the novel "automated solution" slated for release in 2025, poised to amplify people's savings from minor change accumulation. "Many of them will also be looking to make habitual changes in January, and we know that putting away smaller amounts over time works well for them," he commented.

Coyne also highlighted the approachability of the challenge: "This challenge is a great entry point for those at the start of their journey, and a fun competition for those who are already in the habit."

In an enticing move, Monzo has declared a tantalising £10,000 prize draw for one lucky customer who sees through the entire 365-day challenge-a big win for thrift enthusiasts!

Further perks are in store for subscribers of its monthly plans.

In keeping with innovative trends, numerous UK banks have embraced automated saving schemes, leveraging technology to facilitate incremental saving aligned with customer spending-this includes the ubiquitous 'round-ups', which slenderly elevate purchases to the nearest pound, spiriting the spare pence into people's savings pots.

Proudly, Monzo disclosed that this feature has empowered its customers to stash away an impressive total of £229 million just in 2024.