The Chancellor has said she wants to create “a culture … of retail investing” to achieve “better returns” for UK savers amid reports she could cut the limit on cash Isa deposits.
Tom Selby, director of public policy at investment firm AJ Bell, told the PA news agency it is “hard to imagine” an Isa system that does not let investors hold a significant chunk of their savings in cash.
The cash Isa and stocks and shares Isa are the two main types of Isa savings accounts available to consumers.
Savings providers have said they are preparing to fight any move to bring down the deposit limit on a cash Isa.
It comes after the economic secretary to the Treasury, Emma Reynolds, said the UK needs an investment culture “that realises cash is not a good investment”.
