‘No down-side’ to new ISA rules

Posted 2008-03-25

The overhaul to the rules governing Individual Savings Accounts (ISAs) "can only be a good thing" for consumers, MoneyFacts.co.uk has claimed. Critics have accused the outgoing maxi and mini ISA distinction as being confusing - and according to the financial website the simplification between cash and equity ISAs offers an ideal solution. "Theyve simplified it a lot," spokesperson Michelle Slade affirmed. "And thats going to make it better for anybody who wants to take out an ISA. It will be more attractive for them." She also welcomed the new increased upper savings limit, which sees maximum annual deposits rising to £3,600 for cash ISAs and £7,200 for stocks and shares ISAs. Reserving a modicum of criticism for the government, however, the MoneyFacts spokesperson claimed that not enough had been done to create awareness of the new system. "I havent seen [anything] more widely publicised about the new rules," Ms Slade bemoaned. "They probably should do something more to advise customers out there what is going on - the fact that they can now put in an additional £600 and its tax free … Obviously thats the first port of call for anybody whos going to take out savings." The governments new ISA regulations come into effect on April 6th.

Leave a Reply