Isa limits to be linked to inflationConsumers able to save more in tax-free Isas

24 March 2010

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Endowments are an example of a qualifying policy

The Chancellor announced today in his Budget that savers will be able to put more into their Isas in the future.

From next month, the annual Isa limit will rise from £7,200 to £10,200 and ISA limits will then increase annually in line with inflation.

Since their introduction in 1999, Isas have saved the public over £270bn and they have proved very popular.

With inflation expected to be around 2 per cent for the next year, this means the ISA limit will be about £10,400 from 2011/12. Assuming that inflation stays around this mark, the Isa limit will be approximately £1,000 higher at £11,200 within 5 years.

Which? Best Rate savings accounts and cash Isas

To make sure you're getting the best return on your savings, check out Which? Best Rate savings accounts and Which? Best Rate cash Isas.

For more information about making the most of your money, read the free, expert Which? guides and .

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