ISA customers could find a new report on the market helpful as they seek the best ways to save money in difficult times.
The report, assessing the market for Individual Savings Accounts (ISAs), was published by the Tax Incentivised Savings Association (TISA).
It is aimed at ensuring a fully informed debate in a climate with an urgent need to encourage higher saving levels among more people, said TISA.
The background to the study, carried out in association with Cimetric, is a massive subscription growth since 1999 when ISAs replaced TESSAs and PEPs - the 2009/10 tax year alone seeing 15 million people investing £45 billion.
Based on an analysis of data drawn from the HMRC, other public sources, Cimetric's proprietary databases and consumer research, the key findings include:
- Lower income groups (annual earnings less than £30,000) accounted for 79% (about eight million) of Cash ISA subscribers and 59% of Stocks & Shares ISAs;
- 26% of ISAs have balances over £15,000 and 31% hold less than £3,000;
- 74% of those with ISAs of more than £15,000 are aged 45 and above;
- The South East, London and North West account for 37% of the ISA market;
- Cash ISAs are four times more popular than Stocks & Shares ISAs.