Spring Statement 25: Govt looking at options to tackle Cash ISA 'hoarding' concerns

Any reforms 'must be handled with care'

Jenna Brown
clock • 6 min read

The government is investigating ISA reform options to tackle what has been described as Cash ISA “hoarding” which results in savers missing out on potentially higher returns from Stocks and Shares ISAs.

Treasury documents released after the Spring Statement said the planned ISA reforms wanted to "strike the right balance" between cash and equities to earn "better returns for savers, boost the culture of retail investment and support the growth mission". The practice of maximising Cash ISA limits over Stocks and Shares allowances has been called Cash ISA "hoarding" by provider AJ Bell. The firm has long called for ISA reform and simplification. The Treasury document added that alongside this, the government is working closely with the Financial Conduct Authority (FCA) to deliver a sys...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on ISAs

Spring Statement 25: Govt looking at options to tackle Cash ISA 'hoarding' concerns

Spring Statement 25: Govt looking at options to tackle Cash ISA 'hoarding' concerns

Any reforms 'must be handled with care'

Jenna Brown
clock 26 March 2025 • 6 min read
Reeves not expected to make changes to Cash ISAs in Spring Forecast – reports

Reeves not expected to make changes to Cash ISAs in Spring Forecast – reports

Changes could come in Autumn Budget

Isabel Baxter
clock 13 March 2025 • 1 min read
Real cash ISA returns fall back into negative territory

Real cash ISA returns fall back into negative territory

Following seven months where returns beat inflation

Isabel Baxter
clock 20 February 2025 • 2 min read