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...

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 Pensions

Boring Money and Wealth Wizards link to plug advice gap

Boring Money and Wealth Wizards link to plug advice gap

Strategic partnership to improve access to financial advice

Jenna Brown
clock 01 May 2024 • 2 min read
FCA tweaks rules ahead of pensions dashboard connection dates

FCA tweaks rules ahead of pensions dashboard connection dates

Firms will be COBS 19.11 compliant when they connect to CDA

Jasmine Urquhart
clock 01 May 2024 • 1 min read
Pensions campaigner and former WPC chair Frank Field dies aged 81

Pensions campaigner and former WPC chair Frank Field dies aged 81

Field was a former Work and Pensions Committee chair and a welfare champion

Professional Pensions
clock 24 April 2024 • 5 min read