The number of employees investing in sharesave schemes rose by 5% last year to 1.4 million, according to research by IFS Proshare.

The survey of 445 UK organisations, including 79 of the FTSE 100, also revealed that 44% of eligible employees are participating in at least one sharesave scheme, an increase from 38% on the previous year.

However, the average amount of money being invested into sharesave schemes fell slightly from £107 in 2009 to £101 in 2010.

John Collison, head of employee share ownership at IFS Proshare, said the survey shows that, despite the market turmoil in recent years, employees remain committed to this tax-efficient, low-risk method of saving.

He added: “This is underlined by the fact that nearly half of all employees in our survey who can take part in a organisation share scheme do take up this option.

“If an organisation’s share price is not what they had hoped at the end of their share plan they always have the option of withdrawing their saved money or waiting to see if the price rises in the future.”

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