PIMA WELCOMES PRESIDENT BUSH’S BUDGET
PIMA believes the lifetime savings account launched by the Bush administration today should provide a massive boost to savings in the US and should be closely monitored by UK authorities.
The lifetime savings account will allow tax-free withdrawals at any time and is launched in tandem with a new retirement savings account which will allow tax-free withdrawals after age 58.
Tony Vine-Lott, director-general of PIMA, said:
‘As the UK savings industry waits for the Government’s guidance on the Sandler ‘suite’ of products, PIMA welcomes these two new initiatives in the US and calls upon the Treasury and the Inland Revenue to closely monitor their development and take-up. The aim of the launch of the lifetime savings account and the retirement savings account is to simplify savings and encourage people to make retirement provision. This has to be welcomed and, in the current environment of depressed markets, we hope this will provide a boost for savings from the world’s biggest economy. We need to encourage more saving now in the UK.’
To look at the US Budget announcement log on to:
http://www.ustreas.gov/press/releases/kd3816.htm