By Steve Lodge, FT Money
The increase in the Isa limit to £10,200 a year sounds good - after all it’s £3,000 more than the current £7,200 limit.
However, it’s not exactly a windfall giveaway. Savers will be able to put up to £1,500 more into a cash Isa - £5,100 compared with the present £3,600. But with interest rates at record lows, the additional tax savings are worth just £9 a year for a higher rate taxpayer, according to KPMG. In addition, there are no instant winners here: the allowance increase only comes into force from 6 October for over-50s, while younger savers will have to wait until next April.
See our up-to-the minute personal finance Budget coverage
April 22nd, 2009 6:05pm in Uncategorized | Permalink |
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