Lifetime ISA fears 'overblown'

'Allow employers to contribute'

Hannah Godfrey
clock • 2 min read

Savers are planning to use the Lifetime ISA (LISA) to boost their savings pot, rather than as a replacement for their pension, research by True Potential has suggested.

The LISA,  which will be available to those under the age of 40 from 6 April, has faced criticism from the personal finance sector, with a number of commentators expressing concern it could have a detrimental effect on how consumers treat their pensions. Warnings have also been sounded that savers who plan to opt out of workplace pensions in favour of the LISA could lose valuable employer pension contributions. In contrast, however, True Potential said many people were planning to take a "best of both worlds" approach. Of the 2,000 18 to 40 year-olds canvassed by the group, almost hal...

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