 While I am strongly against any tax rises (because we do not need them - we need to significantly reduce public spending in all non-core/front line areas), a raid on pensions would be more achievable than a raid on ISA holdings IMO.
Not that I am advocating a pensions raid, to be clear, but from a legal perspective, it might be easier to pull off. Because ISA's are cash investments from money that has already been taxed. Pensions (especially SIPPs) have incurred (in some cases) significant tax advantages - savings/public funds top ups along the way.
Yes, it was an obvious strategy to encourage people to save for their retirement. Yes, it would represent a rug pull.
But it would hardly be the first time a government has moved the goal posts on people.
Student loan interest payments, various stealth taxes that go by other names, such as social care precepts, green levies, landlord licences...just off the top of my head. Not to mention the most devious of them all: the inflation tax.
They have wars to fund and other avenues for the enrichment of...well, not the ordinary Brit, don't ya know.
Anyway, we can only control what we can control and no point in worrying about it.
The last Peasants Revolt was almost 650 years ago, so I presume most people are happy enough with the current set up. More is the pity, perhaps :) I jest of course. GLA. |
#Monty, indeed, but 1 of my concerns is IF ISA income gets capped or the size is given a ceiling value where income from it is taxed over and above..?
Anything can happen, but I can see a raid on pensions 1st where contributions are all given the 20% tax relief, nothing extra for 40/45% earners..? |
Always get a run up to ex div 27th June, bears panic, investors want the dividend.ISA's will be so important for tax free dividends as Labour comes to power, goodness knows what will be taxed for savers. |
Defensives are charging ahead as markets seem on the verge of a swoon |
Wonder if we hit the large resistance and drift back down again 2480 2500?? |
Over 2500p before ex div. |
How do we know they haven't already ? |
One more thing, sorry to go on and on! Trading212 also has 24 hour trading for some US stocks, which ii do not have. They should give me a PR job lol. |
Also, very importantly lol ... Trading212 allows you to buy cannabis stocks which ii does not for some reason
Different horses for different courses you could say when it comes to investing products on the market |
Btw, I still retain my ii account but only on holdings that I do not trade, such as BATS.
ii costs however are hefty compared to Trading212 so it's worth having several accounts in my view, depending on what you intend to use them for. When it comes to US trading, 212 also cover the OTC market which most UK brokers do not, and again the trading fee is 0 and exchange rate minimal whereas ii rip you off with both trading (albeit less than others) and the USD exchange rate. |
Trading212 is covered by the FSA like other brokers on most of their products. Their offerings are changing all the time, improving from what I can see.
In regards to the 5.2% interest, you are right since they invest the free cash on the money markets, but very conservatively, IF YOU ALLOW THEM. There is another option for less interest if you did want to be covered on the free cash by the FSA.
Them being able to use your shares needs your consent, you get paid for that service, I don't allow it personally as the payout is not that much. |
Good post, I'm sticking with ii. |
good info thankyou.. |
Moving your ISA to Trading 212 was a bit pointless. I have Trading 212 ISA Stock/Shares opened up in April 2024 (Growth share trading only). I would advise to consider it carefully I have kept my main ISA with H/L for coverage/information and easy access to paying Dividends directly into your Bank Account ( I only Invest monthly via their Monthly Saver no fee only stamp duty like most other platforms).
Trading 212 has draw backs the Interest Rate 5.2% on free cash in account is good the drawback is your not covered by FCA £85,000 as you signed the waiver (ISA is at risk if you sign it as your not covered). The other drawback is that Trading 212 can use your shares. ALWAYS read the small print.
Happy Investing |
Suckered inNo such thing as a free lunch |
head of steam to xd day...then back to 22.25. |
That's a good rate, I think Bats will be nearer or over 2500p before ex div 27th June. |
I've been moving my ISA money from ii to Trading212, great platform so far |
Trading212 pays 5.2% (paid daily) on uninvested cash
also no trading fees and amazing exchange rates if buying and selling US stocks |
Think Bestinvest is over 4% on the cash component of ISA. |
Of course agree, but I trade my stocks and shares isa, so when in cash waiting for opportunity, it's nice to know still earning 3.75% tax free. |
I don't see the point in cash ISAs. You should really own investments in ISAs you can buy short term gilts for excess cash. If you want higher interest in an ISA you can buy a money market fund or short gilts but with a high coupon as opposed to the discounted low coupon variety which are tax efficient outside of an ISA |
Shares held in nominee accounts are still yours (subject to administration), cash is at risk over GBP85K but also any buy/sell transactions that might be in settlement at the time IF any provider went pop should that value exceed the FCSA limit, an unlikely event but a risk all the same..
27th XD could offer up some more bargains, but will more than likely recover the XD on the day.. :o) |
Tag yes your spot on with that comments someone said to me if it's invested they have to honour your investment as its not in cash.
Nellynel thanks for your answer and your spot on my interest was credited yesterday.
Cheers guys for good advise.
Atb
Ken |
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