“Isas were introduced several years ago and enable taxpayers to save up to £20,000 to be saved in a year without paying any tax on interest or returns. Savers are being urged to take risk on the markets under Isa shake-up. There are moves afoot to make the default investment for ISA’s into stocks and shares as opposed to cash.”
Nigel Holland
- Savers are set to be nudged to invest in stocks and shares.
- The government are to encourage investing in the stock market in an effort to beat inflation and low savings rates offered at some major banks.
- Only about 8.6 million people holding more than £10,000 of investable assets each.
- Only about 10 per cent of Isa savers hold money in stock market investments,
- The Government was receptive to ideas of how it can make Isa’s more attractive to encourage people to develop a savings habit
- The Treasury is near a decision on Isa reform before the Autumn statement