Scrapping Lifetime ISA Could Leave Savers in Limbo

Is the Government about to do away with a product that provides a much-needed helping hand for aspiring homebuyers - or are there already too many ISAs?

Holly Black 3 September, 2018 | 12:27AM

Ten pound notes savings ISAs cash

I bought my first house almost six years ago, after years of saving. If you had offered me a 25% contribution towards the deposit I would have jumped at the chance. I feel a little gutted to have missed out on the bonus from the Government that a Lifetime Isa would have offered, but I also appreciate that in the intervening years I have enjoyed the house price growth which is the very thing keeping the next wave of buyers from getting a foot on the ladder.

My view of the Lifetime Isa is simple: savers who don’t take advantage are looking a gift horse in the mouth. I feel the same way about these lucrative savings accounts as I do about workplace pensions: it’s free money, why wouldn’t you take it?

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About Author

Holly Black  is Senior Editor, Morningstar.co.uk

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