Isa allowance change was "headline-grabber"

Money News

www.moneynews.co.uk > General finance > Isa allowance change was "headline-grabber"

Topics

bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet

Features

bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet

Companies

bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet

Money News

bullet
bullet
bullet
bullet
bullet

Isa allowance change was "headline-grabber"

The increase in the amount people over 50 are allowed to put away in an Isa was a "headline-grabber" but has not had a huge financial impact, according to an industry analyst.

Andrew Hagger, a spokesperson for Moneynet.co.uk, made his comments following the increase of the Isa allowance by £3,000 on October 6th.

He used the example of £1,500 invested in a cash Isa for six months at an interest rate of three per cent.

Mr Hagger pointed out that this would give the customer a return of £22.50 tax-free, but the same amount would get between £13.50 and £18 in a normal savings account, depending on which tax rate the person pays.

"It was a great headline-grabber at the time, but we're not talking about a life-changing sum of money here," he said.

This week, a spokesperson from uSwitch pointed out that four providers cut the interest rates on their Isas in the weeks preceding October 6th.

Click here for more general finance newsADNFCR-323-ID-19398377-ADNFCR

Related News : General finance

bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet