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L&G launches regular contribution corporate cash Isa

Legal & General has launched a regular contribution corporate cash Isa.

The WorkSave cash Isa accepts contributions directly from payroll and can be topped up online using a debit card, with a minimum regular contribution of £50 per month. L&G says it is the first regular contribution coporate cash Isa product in the UK.

L&G managing director, workplace savings Tony Filbin (pictured) says three medium sized businesses are planning to roll out the product in this tax year, while several larger companies have been lined up for “later this year”.

He says: “The WorkSave cash Isa gives employers a flexible savings plan, which should appeal to all members of staff and can play an important role in kick starting long-term saving for younger employees.”

L&G has partnered with HBOS, which will act as deposit taker. The interest rate on the product is guaranteed to track at 0.5 per cent above the Bank of England base rate.

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Comments

There are 2 comments at the moment, we would love to hear your opinion too.

  1. Wow – what great way to waste a tax allowance.
    Cash only makes send in the short term. In the long term it is probably the most dangerous asset class available – almost certainly guaranteed to fail

    This has to be inappropriate for any but one of the minority who are afraid of their own shadows.

    Still as it is a monthly scheme the lambs to the slaughter will no doubt be told about the merits of pound cost averaging

  2. If only you could pay these by salary sacrifice

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