Experts have welcomed reports that the Labour Government is set to scrap the British ISA scheme announced at the Spring Budget.
In March, then-Chancellor Jeremy Hunt announced the new savings product and said it would will allow Britons to have an extra ISA – a tax-free savings account – allowance of £5,000 a year, invested in UK equities, taking their annual limit to £25,000.
But the plan was widely criticised by investment and finance experts at the time.
The Government was warned savers may end up being able to invest in firms that do not actually do business in the UK, and was also told that it should have focused on raise the £20,000 ISA allowance rather than introducing extra elements to investing rules.
Now, a report from the Financial Times suggests Labour will ditch the policy, though the Treasury has said “no decisions” had been made.
Experts have welcomed the reported scrapping of the product, which they have said…
