Chancellor could unveil major ISA reform in Autumn Statement - reports
Chancellor Jeremy Hunt (pictured) will deliver his Autumn Statement speech on 22 November.
In a report on Wednesday (8 November),The Telegraph suggested existing ISA rules could be relaxed from April next year to allow savers to pay into multiple ISAs of the same type in a single year without affecting their £20,000 allowance.
The report explained that ministers expect the changes to encourage providers to offer more competitive rates and help consumers make more in tax-free interest.
Provider AJ Bell has campaigned for reform and simplification of the savings product to boost access and usage. It explained the current rules mean people can open multiple ISAs in a tax year but they must be different types. It said relaxation of the rules could pave the way for more «radical reforms».
Chancellor plans ISA overhaul while pushing London as tech listing hotspot — reports
The provider has pushed for the introduction of ‘One ISA' to help people save and invest while giving greater simplicity. According to the firm, reform could create the foundations of an «investing revolution when combined with review of advice/guidance boundary».
Head of retirement policy Tom Selby said that if the government brings forward this review, it could be a «huge step» toward a «radical simplification» of ISAs.
«It provides a real opportunity to develop long-term proposals centred around stripping away unnecessary complexity and creating a single, simple ‘One ISA' product that incorporates the best features of the existing landscape,» he said.
«Coupled with reforms designed to boost the financial help available to millions of Brits, this could create the foundations of an investing revolution in the UK. Given most investors display a
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