According to figures released by HM Revenue and Customs (HMRC), ISA take-up is at an all-time high of £31 billion.
In the tax year 2005/06, Britons subscribed to a total of over 12 million ISA accounts. The total number of stocks and shares ISAs rose by 18.3 per cent, investment in mini-stocks and shares ISAs grew by 37 per cent and cash ISAs rose by seven per cent.
"This was a fantastic year for ISAs," said Tony Vine-Lott, the director general of the PEP and ISA Manager's Association. "More consumers than ever are turning to the transparency, simplicity and flexibility of saving through ISAs."
"It is particularly encouraging that more investors are choosing to grow greater amounts of their tax-free savings via equity exposure," he continued. "We expect uptake of all ISAs to continue to be strong throughout the next year."
Cash accounts continue to be the most subscribed-to form of ISAs – they accounted for over 80 per cent of the total number of tax-free savings packages opened in the UK last year.To read more about investment, click here.
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