ISA limit on course for £480 rise

In March, as part of the last Labour government's Budget, Alistair Darling linked increases in cash and share ISA limits with RPI from April 2011. Historically, HMRC uses September's figures to calculate the following year's limits. RPI was announced today as 4.6%, putting 2011/12 ISA limits on course for around a £480 increase from the current £10,200. "The September inflation figure is used for a variety of increases to allowances and benefits, including ISAs", says Informed Choice's managing director Martin Bamford. "If HMRC is generous and rounds up then the new limit will be...