Brits waste stocks and shares ISA allowance
UK adults let billions of pounds worth of stocks and shares ISA allowance go to waste, according to Lincoln Unit Trust Managers.
Research from the unit trust managers found that £6.864bn was invested in both mini and maxi stocks and shares ISAs between April 2007 and January 2008, collectively representing less than 5% of the total ISA entitlement.
UK adults can currently invest up to £7,000 in a stocks and shares maxi ISA, up to £3000 in a cash ISA, or up to £4,000 in a stocks and shares mini ISA. As of 6 April 2008, however, the combined allowance will rise to £7,200 and the distinction between maxi and mini ISAs will be removed.
Will Hale, head of distribution at Lincoln Financial Group, said: “No doubt people have been put off investing in equities because of the uncertainty on financial markets but equities tend to outperform in the longer term and people should be making more use of their stocks and shares ISAs to meet their financial goals.”