May 24
The first reason why more people are choosing to ignore Isa’s is the low interest rates they offer. Interest rates have plummeted over the course of the last two years, with research from Moneyfacts highlighting that returns had fallen by 70pc over this period. The main reason for this is that competition between lenders has capitulated due to lack of need to attract savers’ money. The Governments Funding for Lending Scheme has been earmarked as the main culprit for this, as banks and building societies use the scheme to attract new customers by offering reduced rates on personal and business loans.


Recent Comments