BUDGET RESPONSES FROM PIMA
Commenting on the Pre-Budget Statement, Tony Vine-Lott, PIMA Director General, said:
On the proposals for the Child Trust Fund
‘We are delighted the Chancellor has moved forward with plans for the Child Trust Fund and our members look forward to developing the product in the coming months. PIMA believes it is extremely important that the entire savings and investment industry takes part in the development of the CTF.’
On the 10% Tax Credit on stocks and shares ISAs
‘We were hoping the Chancellor would today announce a major fillip for savings by abandoning his plans to abolish the tax credit on stocks and shares ISAs which is set to take effect from April 2004. Consumers who know the benefits of ISAs are firmly against this move and if ISAs are effectively no longer able to be called tax free – this will have a disastrous effect on ISA sales. We will continue to lobby the Government to see this move reversed.’
Pensions Green Paper
‘While we are delighted to hear the Government’s commitment towards pensions reform in the Green Paper set to be published at the end of December, many people are keen to see urgent action to address the collapse in UK pensions. It is important the Government does not lose the opportunity to take urgent action.’