Financial services CEOs call for ISA 'reform' at Autumn Statement
The group said that reforming ISAs in next week’s statement would 'help reverse this by putting the £68bn a year invested into ISAs to work on behalf of the UK economy'.
In a letter in The Times newspaper, the signatures included John Ions, CEO of Liontrust Asset Management, Judith MacKenzie, chair of the Quoted Companies Alliance, Benjamin Davis, CEO of Octopus Investments, Mike O'Shea, CEO of Premier Miton Investors, and Sharon Bentley-Hamlyn, fund manager at Aubrey Capital Management.
The group called on Hunt to tackle the «downward spiral of investment and lower valuations» which they said «has taken hold» in the UK, «resulting in companies being taken private and looking to international markets, stifling growth and affecting the tax revenues crucial for funding public services».
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They said that reforming ISAs in next week's statement would «help reverse this by putting the £68bn a year invested into ISAs to work on behalf of the UK economy».
The group suggested the formation of a new British Isa or «Brisa» to help tackle the issue, something Premier Miton has publicly suggested previously.
They argued that the specialist product could allow investors to channel their ISA allowance to supporting British companies, adding that investors could still put money into overseas businesses «just without the support of an overt tax break».
The signatories said this could «drive interest from a wider pool of investors and create a multiplier effect, reviving interest in raising equity in the UK, driving economic growth, spreading prosperity and boosting tax revenues».
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