{"id":111675,"date":"2025-05-18T12:28:13","date_gmt":"2025-05-18T12:28:13","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/111675\/"},"modified":"2025-05-18T12:28:13","modified_gmt":"2025-05-18T12:28:13","slug":"cash-isa-rule-change-will-hit-state-pensioners-worst-with-rachel-reeves-warned","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/111675\/","title":{"rendered":"Cash ISA rule change will hit state pensioners worst with Rachel Reeves warned"},"content":{"rendered":"<p>Banks have urged the Chancellor to drop her plans to cut the tax-free Isa savings allowance.<img decoding=\"async\" src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2025\/05\/0_reeves.jpg\" alt=\"Cash ISA rule change will hit state pensioners worst with Rachel Reeves warned\" loading=\"eager\"  \/>Cash ISA rule change will hit state pensioners worst with Rachel Reeves warned<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">Rachel Reeves has been urged not to plough on with a cash ISA rule change which would worst-hit state pensioners. Banks have urged the Chancellor to drop her plans to cut the tax-free Isa savings allowance.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \"><a class=\"TextLink_text-link__dBSS0 TextLink_enabled__dJF3l\" href=\"https:\/\/www.birminghammail.co.uk\/all-about\/labour-party\" target=\"\" aria-label=\"\" tabindex=\"0\" rel=\"noopener\">Labour Party<\/a> Chancellor Mr Reeves has been lobbied by City executives to \u201cleave Isas alone\u201d as she prepares to overhaul the savings product used by millions.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">Robin Fieth, the chief executive of the Building Societies Association, told The Telegraph: &#8220;Simply changing Isa limits is unlikely to change savers behaviour and will do little if anything to boost investment. Ideally, the well-understood \u00a320,000 Isa limits should be left alone.&#8221;<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \"><a class=\"TextLink_text-link__dBSS0 TextLink_enabled__dJF3l\" href=\"https:\/\/www.birminghammail.co.uk\/news\/midlands-news\/uk-faces-550-mile-wall-31663957\" target=\"_self\" aria-label=\"\" tabindex=\"0\" rel=\"noopener\"><strong class=\"Strong_strong__e2x35\">READ MORE UK faces 550-mile wall of rain but nine counties in England will be spared<\/strong><\/a><\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">But experts warn that pensioners would be particularly affected by any reduction in the cash ISA allowance.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">Rachel Springall of Moneyfacts said: &#8220;Fundamentally, there will be savers out there who do not want to be forced to place their hard-earned cash in a pot which could be at risk.&#8221;<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">James Blower, founder of Savings Guru, added: &#8220;As a nation, we are more risk-averse and like the safety and security of cash with guaranteed returns.&#8221;<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">A Treasury spokesman said: &#8220;We want to support people to save and absolutely recognise the important role that cash savings play in building a buffer for a rainy day.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">&#8220;We also want to ensure that savers are getting the best returns possible, while boosting the economy to create jobs right across the UK. No decisions have been made.&#8221;<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">Stuart Haire, the Skipton Building Society chief executive, told The Telegraph that the Chancellor should \u201cleave cash Isas alone\u201d.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">He said: \u201cWe agree with the Government that people in the UK should increase, if they have the wherewithal and the risk appetite, the amount of money they have got in equities.<\/p>\n<p class=\"Paragraph_paragraph-text__PVKlh \">\u201cHowever, changing the cash Isa limit will not do that, so therefore it\u2019s the wrong tool to achieve the policy outcome.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Banks have urged the Chancellor to drop her plans to cut the tax-free Isa savings allowance.Cash ISA rule&hellip;\n","protected":false},"author":2,"featured_media":111676,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3093],"tags":[51,474,2499,16,15,961],"class_list":{"0":"post-111675","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-personal-finance","8":"tag-business","9":"tag-finance","10":"tag-personal-finance","11":"tag-uk","12":"tag-united-kingdom","13":"tag-your-money"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/114528839497872215","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/111675","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=111675"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/111675\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/111676"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=111675"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=111675"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=111675"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}