Autumn Statement – good news for savers
Responding to the announcements on the taxation of pensions and savings in the Autumn Statement report, TISA director general Tony Vine-Lott said:
“We are pleased that the government is to introduce individual protection (IP14) from April 2014 as a consequence of the reduction in the lifetime allowance to £1.25 million. This will mean that individuals with IP14 will have a lifetime allowance of the value of their pension savings on 5 April 2014 subject to an overall maximum of £1.5 million. However, given the reduction in contribution levels from 2014 it is questionable whether a lifetime cap will be necessary going forward.
“The confirmation that the government has stood by its pledge to increase ISA, JISA and CTF subscription limits in line with the Consumer Prices Index (CPI) is good news for savers. It is also pleasing that the maximum monthly amount that an employee can contribute to Save As You Earn savings arrangements is increasing from £250 to £500 from April 2014.”
The new subscription limits from 6 April 2014 will be:
Adult ISA – £11,880
JISA/CTF – £3,840
Ends……
For further information, please contact:
Tony Vine-Lott, Director General, TISA – Tel: 01372 374728, Mobile: 07790 006108Email: tonyvine-lott@tisa.uk.com
Issued on behalf of TISA by Cauldron Consulting, contact Steve Radford – Tel: 020 7680 6568, Mobile: 07889 903786
Email: steve.radford@cauldron-consulting.com
Notes for Editors
TISA
TISA is a not-for-profit membership association operating within the financial services industry. We represent the interests of over 145 member firms involved in the supply and distribution of savings and investment products and services.