“Retaining the £20,000 cash ISA allowance will be welcome news for savers and lenders, particularly smaller building societies that rely heavily on cash deposits to fund mortgage lending.
“Changing the cash ISA allowance was never likely turn the UK into a nation of investors - 87% of cash ISA holders confirmed they wouldn’t switch to stocks and shares regardless of the lower cash limit. Whilst today's announcement also includes new ISAs aimed at first time buyers and potential investors, the constant changes to ISA rules risks detracting from one of the product's main benefits to consumers - its simplicity.
“Away from product designs, focus must turn to making a success of measures already in place to boost financial literacy and support consumers with financial decisions.”
