Individual Savings Account (ISA): limits from 6 April 2011
The measure
The annual ISA investment limits will increase in line with the retail prices index on an annual basis. The cash ISA limit will remain half the annual ISA investment limit.
In addition, for 2010/11 the annual ISA investment limit will increase to
£10,200 of which £5,100 can be saved in cash. This limit has applied to
individuals over 50 since October 2009, and will be extended to all Taxpayers
from 6 April 2010.
Who will be affected?
All individuals who invest in ISAs.
When?
The new indexing measures will take effect for 2011/12 and later years. The indexing will take effect from 6 April of the tax year in question.
The general increase in ISA limits for 2010/11 and increasing the ISA limits in line with RPI from 6 April 2011 will come as positive news to savers.
