Ark Life has announced that anyone taking out a PIP or PEP from March to May 1st will be offered automatic transfer to the new Government savings incentive scheme.

They will also have the option to cancel their plan with a full return of any charges should they wish to take out a savings incentive scheme with AIB or with any other provider. This opt-out facility will extend to the end of April 2002.

Commenting on the announcement, Ark Life's managing director Mr Billy Flynn said the 25 per cent incentive would be a huge boost to Ark Life's customers.

"However, we recognise that savers will be reluctant to commit themselves until they can see what's on offer in the marketplace."