UK savers are squandering £110m in Isa tax breaks according to research from IFA Promotion.
The research shows 5.4 million UK adults hold bank or building society savings accounts and stocks and shares but no Isas, and 4.2 million taxpayers hold equities but no Isas. IFAP estimates that of these 418,000 have increased their investment in the previous year, generating £82m of wasted tax breaks.
A further 3.3 million savers without cash Isas have missed a further £28m in tax breaks through increasing their savings.
IFAP chief executive David Elms says: “This is another area where people are totally oblivious to the amount of money they are gifting the taxman.”