The value of ISA savings in the UK has increased seven-fold in the past eight years, from £28.6billion to more than £207billion.
According to Government data, at the end of the 2007/08 tax year, £207.8billion was held in ISAs
, this is seven times as much as when ISAs were first launched in 1999.
Individual Savings Accounts (ISAs) were introduced on April 6th 1999 to replace TESSAs and PEPs as the main tax free savings vehicles for individuals.
Last year alone saw investments of £14.7millon, which is 59 per cent more than the £9.3million invested eight years ago. .
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According to the latest figures, more than a third of UK households now have an ISA, and the annual amount invested (not taking into account money already in ISAs) has increased by 26 per cent, from £28.4 billion in 1999/00 to £35.7billion in 2007/08.
Although there are more male ISA savers than women – 6.3million compared to 6.1million – the number of female ISA savers has increased faster over the past two years, going up 46 per cent compared to a 34 per cent increase in the number of male savers.
"ISAs have proved to be a highly popular savings vehicle since their introduction almost a decade ago," said Martin Ellis, chief economist at Halifax, "the number of ISA savers has increased significantly during this period.
"The Individual Savings Account is the principal tax free savings vehicle for most people and an essential element of their financial planning," he said.
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