Scottish Friendly Society is calling on the government to increase the maximum amount which can be invested in friendly tax-exempt savings products.
Glasgow based SFS is arguing TES products will increasingly lose nominal value for the low-earner saver these products are targeted at, unless the maximum which can be saved – currently £270 a year – is allowed to increase with inflation over its 10-year term. Fiona McBain, chief executive of Scottish Friendly, points out the government has been seeking to encourage the low-earner to save for the future, but the value of their regular savings is actually decreasing by the time they mature, representing an effective cut in the value of these plans. “With inflation running at its present ...
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