Net ISA sales were £52.3m as at December 2008, the first positive growth for the sector outside ISA season since early 2007 and an improvement on December 2007 sales which saw net outflows of -£180.3m. However, statistics note annual outflows of stocks and shares Isas since 2004.
IMA chief executive Richard Saunders, Chief Executive of IMA says: “As IMA’s statistics demonstrate, since 2004, stocks and shares ISAs have seen annual outflows following the healthy inflows of previous years.
“In part, this can no doubt be explained by the performance of the stock market over the last decade. But the time is also ripe to look for ways to rejuvenate the incentives to save in Isas. A good start would be to raise the ISA allowance to £9600, a level which would restore its value taking account of inflation since its introduction.”