ISA investment figures hit new high

The number of ISAs sold has more than doubled since the Government raised the tax-free savings allowance, according to new figures.

The amount of money people invested in equity ISAs hit a record level in October 2009, when the annual limit for the amount the over-50s can save in the accounts was increased from £7,200 to £10,200.

The Investment Management Association (IMA) also revealed that there was a further spike in the amounts invested in ISAs in April 2010, when the higher limit for younger age groups was introduced.

Net investments into equity ISAs, once people cashing in or moving their investment were removed from the equation, reached £388 million in October 2009 - the highest level for the month since the accounts were first launched in 1999.

The IMA said £1.16 billion was invested in ISAs during April - the highest monthly total for nine years.

Since last October, total ISA sales have averaged more than £400 million a month, more than double the level during the same period 12 months earlier.

ISAs are tax-free savings accounts into which people can invest up to £10,200 a year.

This can either all be invested into an equity ISA, or £5,100 can be invested in a cash ISA, with the balance paid into an equity one.

Back to blog home


All content is for informational purposes only and is the opinion of the author. Nothing on this website should be interpreted as "advice". Money Dashboard Ltd make no representations as to the accuracy, completeness, suitability or validity of any information on this site and will not be liable for any errors or omissions or any damages arising from its display or use.

Related articles

Download app
Important Information: Money Dashboard Neon and Classic mobile and web apps are now closed as of 31/10/2023. Please see our FAQs for more information.