Funds Insider - Opening the door to funds

Welcome to the Citywire Funds Insider Forums, where members share investment ideas and discuss everything to do with their money.

You'll need to log in or set up an account to start new discussions or reply to existing ones. See you inside!

Notification

Icon
Error
Isa cap
+ Reply to discussion
Options
Jimmy Page
Posted: 23 January 2023 12:24:34(UTC)
#1

Joined: 11/11/2017(UTC)
Posts: 1,686
Resolution Foundation last week published thoughts on encouraging more personal saving.
https://www.resolutionfo...lications/isa-isa-baby/

Its conclusion/ recommendation is basically this -

"The extension and widening of Help to Save could be paid for by reducing the generosity of ISAs. Capping the total amount of ISAs savings that are tax-free at £100,000 would affect 1.5 million people and raise around £1 billion per year by the end of 2023-24."
Back to top Quote
Thrugelmir
Posted: 23 January 2023 12:40:01(UTC)
#2

Joined: 01/06/2012(UTC)
Posts: 5,333
Back to top Quote
Jimmy Page
Posted: 23 January 2023 14:19:19(UTC)
#3

Joined: 11/11/2017(UTC)
Posts: 1,686
Thrugelmir;254819 wrote:
Discussed previously

https://moneyforums.city...Low-ceiling-on-ISAs.aspx



Ahhh. Ta.
Back to top Quote
1 user thanked Jimmy Page for this post.
Thrugelmir on 24/01/2023(UTC)
lindsay Morrison2
Posted: 24 January 2023 17:02:08(UTC)
#4

Joined: 22/02/2017(UTC)
Posts: 590

Thanks: 1672 times
Was thanked: 1551 time(s) in 461 post(s)
Surely this could not be retroactive as people have taken decisions to move from 1 tax regime to another like SIPP to ISA ! THis would be the last straw for me!!!!
Back to top Quote
2 users thanked lindsay Morrison2 for this post.
Sinic on 26/01/2023(UTC), COYS54 on 27/01/2023(UTC)
Sinic
Posted: 26 January 2023 09:48:11(UTC)
#5

Joined: 19/04/2010(UTC)
Posts: 51

Thanks: 155 times
Was thanked: 104 time(s) in 32 post(s)
An unfair and impractical suggestion. I, like many others, have used ISAs ( and PEPs before) as a fundamental constituent of my pension arrangements. Now in my seventies, the income I receive from my ISAs forms the major part of my income. If I had to pay income and/or capital taxes on my ISAs (which were purchased tax paid) it would compromise my ability to sustain a comfortable but modest lifestyle which I have planned and strived for all my working life. Retrospective tax rises are immoral and unethical.
Back to top Quote
11 users thanked Sinic for this post.
Tim D on 26/01/2023(UTC), Sheerman on 26/01/2023(UTC), Sara G on 26/01/2023(UTC), Adam Johnson on 26/01/2023(UTC), Guest on 26/01/2023(UTC), Phil D on 26/01/2023(UTC), Keith Short on 26/01/2023(UTC), Nigel Burkitt on 26/01/2023(UTC), Nigel Harris on 26/01/2023(UTC), Martina on 26/01/2023(UTC), stephen_s on 26/01/2023(UTC)
guantou
Posted: 26 January 2023 10:23:12(UTC)
#6

Joined: 05/09/2009(UTC)
Posts: 1,039

Thanks: 1511 times
Was thanked: 2415 time(s) in 787 post(s)
Too many ISA millionaire's in government for this proposal to succeed.
Back to top Quote
1 user thanked guantou for this post.
DHardisty on 07/02/2023(UTC)
masud
Posted: 26 January 2023 12:18:24(UTC)
#7

Joined: 25/04/2016(UTC)
Posts: 56

Thanks: 78 times
Was thanked: 23 time(s) in 16 post(s)
I will not trust any GOV If this happen.
Back to top Quote
1 user thanked masud for this post.
Guest on 26/01/2023(UTC)
Robert D
Posted: 26 January 2023 12:41:29(UTC)
#8

Joined: 06/11/2016(UTC)
Posts: 1,482

Thanks: 395 times
Was thanked: 1850 time(s) in 844 post(s)
I think this proposal from the the RF is highly unlikely to happen. There are too many political risks for the government (or the next Labour government) and administratively a retrospective cap would be very difficult to implement

ISAs are a generous tax dodge however and you can see why the government is looking at them. I wouldn't be surprised if either the annual allowance is drastically reduced or they are axed altogether.
Back to top Quote
2 users thanked Robert D for this post.
Newbie on 26/01/2023(UTC), Tim D on 26/01/2023(UTC)
Newbie
Posted: 26 January 2023 12:52:28(UTC)
#9

Joined: 31/01/2012(UTC)
Posts: 3,819
Robert D;255217 wrote:
I think this proposal from the the RF is highly unlikely to happen. There are too many political risks for the government (or the next Labour government) and administratively a retrospective cap would be very difficult to implement

ISAs are a generous tax dodge however and you can see why the government is looking at them. I wouldn't be surprised if either the annual allowance is drastically reduced or they are axed altogether.

"ISAs are a generous tax dodge"
A bit harsh is it not.
Back to top Quote
Jonathan Friend
Posted: 26 January 2023 13:10:29(UTC)
#10

Joined: 19/09/2022(UTC)
Posts: 1,282

Thanks: 1229 times
Was thanked: 3047 time(s) in 957 post(s)
Well, the government needs us to pay for all of its mistakes... like shutting down the economy for two years, paying millions of people to be unproductive, and spraying public money (much of it printed) into the pockets of fraudsters.

65% of the cost at the petrol pump is taken by the government, fuel and energy bills are high because of their insane energy policies, and ever higher taxes will also help to choke off productivity and demand (effectively lowering tax revenue)...

So of course they are exploring new ways to steal from people.

Odd that this "think" tank considers that the answer to all these problems could be even more state intervention, don't you think? I suspect there has been some collusion here.

If this is introduced I will be reducing the number of hours I work and directing what I do save into other channels. I was already thinking along these lines, but this would be the final straw.
Back to top Quote
9 users thanked Jonathan Friend for this post.
Newbie on 26/01/2023(UTC), Guest on 26/01/2023(UTC), Keith Cobby on 26/01/2023(UTC), Tim Dr on 26/01/2023(UTC), Nigel Harris on 26/01/2023(UTC), low income investor on 26/01/2023(UTC), stephen_s on 26/01/2023(UTC), Alfa 2 on 28/01/2023(UTC), DHardisty on 31/01/2023(UTC)
3 Pages123Next page
+ Reply to discussion

Markets

Other markets