Here’s what you could do with your money after cash ISA cut in Reeves’s Budget
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What to do with your cash ISA ahead of likely changes in the Budget
- Rachel Reeves is expected to announce a cut to the cash ISA limit from £20,000 to £12,000 in the upcoming Budget.
- This proposed change aims to encourage individuals to invest rather than solely save in cash.
- The overall £20,000 ISA allowance will remain, allowing savers to allocate the additional £8,000 to other tax-free products like Lifetime ISAs or Stocks and Shares ISAs.
- While many savers may not be immediately impacted, those with lump sums from inheritances or property sales could be affected.
- The article suggests considering alternative options for savings beyond the new cash ISA limit, such as utilising personal savings allowances, pensions, or various investment strategies, after securing accessible emergency funds.