23% unclear on new ISA limits, warns Halifax

The survey reveals the likely impact on saving habits resulting from the new ISA rules contained in the budget. Around one in three (32%) cash ISA holders expect to save more as a result, while close to half (52%) believe it will make no difference to their saving habits.

The potential for confusion remains strong. While 61% of people surveyed were able to identify some of the financial benefits in the new rules, such as the new higher limits, 28% would like more help in understanding the changes.

Typically knowledge of the changes is lowest among younger people. Some 40% of people between 18-24 and more than one in three (36%) 25-36 year olds are unaware of the changes to the ISA rules.

Richard Fearon, Head of Halifax Savings, said:

“The new ISA rules have the potential to transform the level of UK’s savings. However, in the short term there remains confusion about how much people can save in their ISA and when. As a result, many savers could already be missing out on tax-free savings by being unaware that it’s possible to start saving now and top up to the full limit when it becomes available in July.”