Changes to individual savings accounts (Isas) will offer "a number of benefits for cash investors," one expert believes.
Robin Keyte, director of financial services company Towers of Taunton, said that the increase in the limit that people can put in the savings accounts should prove attractive to savers.
He said: "I think it's an encouragement to save. You could also say that, with the credit crunch digging in, it's very timely because people want to reduce their spending."
The limit for cash Isas is set to increase to £3,600 in April.
Mr Keyte added that cash Isas were attractive investments as they were low risk, tax free and offered a relatively good return.
According to HM Revenue and Customs, the total amount of money saved in Isas stood at around £208 billion in November of last year.
The BBC reported that this meant there is almost as much money in Isas as people in the UK owe on personal loans, credit card and other forms of unsecured debt .
Individual savings accounts set for changes
Financial Services > Savings > Savings and Investments News
Individual savings accounts set for changes
Mon, 21 Jan 2008
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