Halifax welcomes Budget ISA extension

17 March 2005
Halifax has welcomed chancellor Gordon Brown's decision to extend the current ISA limits, announced in yesterday's Budget.

In his ninth budget, Gordon Brown yesterday confirmed that tax breaks for the first £7,000 of ISA savings were safe until 2010.

"ISAs are one of the most effective ways of saving for the future, as they are free from income tax, and we welcome today's decision to extend the current ISA limits," said Cheryl Millington, head of savings at Halifax.

Ms Millington added that the building society would like to see permanent protection for ISA limits to encourage more people to save, however.

"While today's announcement is a very welcome move, we would like to see permanent protection for ISA limits as we feel this would encourage even more people to benefit from tax-free savings," she said.

According to Halifax figures, 8.8 million cash ISAs were opened in the last financial year with a total of £19.4 billion invested.

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