The latest figures on ISA inflows - in combination with the newly raised annual limit, low interest rates and rising inflation - have led Royal London to warn savers against a 'dash for cash'.
The warning comes as aggregate figures for the 2014/15 and 2015/16 tax years released by HM Revenue and Customs (HMRC) show some £120bn being directed into cash ISAs over the period. In comparison, £43bn was invested into stocks and shares ISAs. Royal London said the surge in flows into cash followed the large increase in the limits for cash ISAs in July 2014 - when the annual cap was raised from £5,760 to £15,000 - and predicted this trend would only continue following the further increase in the overall ISA limit to £20,000 from last month. More detailed analysis by HMRC of the 2014...
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