Allowances on all ISA’s (Individual Savings Account) has increased from £15,2490 to £20,000 from April 2017. This is very good news for savers especially if you decide to invest your money at the beginning or as close to the start of the new tax year.
Both types of ISA’s provide a good investment. Note that the full amount of £20,00 can be invested into a Cash ISA or into a Shares ISA. There is also the popular option of dividing this amount between the two types of ISA’s. All interest and savings are tax-free for cash ISA’s and dividends and capital gains earned from Share ISA’s.
Share ISA’s can present a certain amount of risk and you will not be able to access your money as quickly. These ae both considerations that need to be taken into account when deciding which options are best for you.
To get expert advice on which ISA options are best for you please
Contact Fusion Accountants dedicated tax experts to discuss your options.