May 16 2007
Awareness of the potential benefits presented by investing funds into a cash Isa is becoming more widespread in the UK, according to one personal finance expert.
Ross Dalzell, marketing manager at Alliance & Leicester, suggests that as the recent rise in interest rates takes effect across the country there is likely to be an increase in the popularity of cash savings accounts.
Furthermore, Mr Dalzell maintains that saving trends have been gradually altering as the interest rate environment shifts away from one in which the next change in the cost of borrowing is likely to be up, as was the case around a year ago.
"I would expect to see a change in how [UK consumers are] saving, not who's saving," he remarked.
"There's still a degree of ignorance about Isas, but it's getting a whole lot better," he added.
Last week, the Bank of England's monetary policy committee opted to raise the base rate of interest by a quarter-point to 5.5 per cent, which represented the fourth such increase since August of last year.
