Octopus Money will offer customers their own money coach or financial adviser and will offer advice on areas such as investment and pensions.

It will also offer a one-to-one budgeting support service.

Octopus said Octopus Money aims to help employers improve their staff’s financial wellbeing.

According to Octopus, 66% of employees do not think their employer cares about their personal finances and only a quarter of employees (27%) say money conversations at work end with a positive outcome.

The new venture will be led by former Octopus Investments CEO Ruth Handcock.

Ms Handcock said: “Over the last decade, the industry has ‘innovated’ the humanity out of most financial services businesses. We’ve never had access to more apps and more information, and yet millions of people are still confused about what to do with their money. That’s why everything we’re building at Octopus Money starts with the belief that when it comes to money, people want to engage with a human, not just an app.

“We’re partnering with UK workplaces, because we believe employers are the country’s best hope for improving financial wellbeing. Too often, meaningful money conversations are rushed, fumbled or altogether absent inside businesses. This leaves employees feeling confused, frustrated and undervalued. For many UK employers, ‘people’ are the single biggest investment and yet there’s often no one helping employees to make the most of their pay. Octopus Money aims to help companies fill this gap.”

Octopus Money is not the first workplace-channel offering launched by the Octopus Group.

In 2021 Octopus acquired Hatch Financial Coaching which it rebranded as Octopus Moneycoach. 

Octopus Moneycoach works primarily with employers, who offer its services as part of their workplace benefits, but also pairs with financial advice firms.

Octopus Group also owns Octopus Investments, which manages £12.9bn of assets on behalf of retail and institutional investors.