Jun 2 2008
The Building Societies Association (BSA) has welcomed the increased in the amount of money being deposited into the cash-based individual savings accounts (Isas) operated by its members.
A record total of some £1,820million was added to the cash Isas operated by the BSA's members around the country over the course of April, which represent an increase of almost £500 million on the same month of 2007.
In response to the latest data, the BSA suggested that people saving for children or for their own financial future are increasingly viewing the cash Isas offered by building societies as a safe place for their assets.
Adrian Coles, director general of the BSA, said: "It appears that building society cash Isas were particularly popular because of a less optimistic outlook for future stock market performance."
Earlier this year, the government announced that the Isa rules have been changed to allow account holders to switch cash-based savings assets into equity-linked equivalents without affecting their annual tax-exemption limits.
