Ahead of Monday’s budget Bill Packman, Wealth Management Partner, KPMG UK, calls on the Chancellor to learn from the reaction to Lifetime ISAs (LISAs), and consolidate the range of ISAs available to help savers and investors:
“With a fifth of us spending over 50% of our wages on payday, it is incumbent on legislators to make saving and investing as simple as possible. ISAs are the gateway product for everyday consumers to access wealth management.
“Since their introduction last year, LISAs have proven to be less popular and more difficult to administer than expected.
“There’s a lesson and an opportunity here for the Chancellor. Consolidating the range of ISA options would make it easier for customers to understand and more attractive for providers to offer. Given the mediocre take up of LISA, now seems like the right time to streamline the product suite.
“I hope the Chancellor takes this opportunity to make it easier for savers and investors.”
Notes to editors:
• The Treasury Select calling for Lifetime ISAs to be abolished can be found here: www.parliament.uk/business/committees/committees-a-z/commons-select/treasury-committee/news-parliament-2017/household-finances-report-published-17-19/
• Launched in April 2017, the Lifetime ISA is a longer-term tax-free savings account offered to adults under-40: www.gov.uk/government/news/lifetime-isas-available-from-6-april-2017
For more information, contact:
Jamie Bullen, KPMG UK
Christina Bridge, KPMG UK
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