6th May 2026
From April 2027, the government will cut the cash ISA allowance for the under-65s from £20,000 to £12,000, forcing the remaining £8,000 into stocks and shares. But the Bank of England is now warning of a "significant risk of a stock market adjustment." Is this really the right moment to push small savers into a volatile market?
In this video, I explain why this policy is recklessly irresponsible. The government claims that redirecting savings into stocks and shares ISAs will benefit the UK economy, but around 99% of all activity on the London Stock Exchange takes place in the secondary market, where second-hand shares are traded.
No new money reaches UK companies as a result. No jobs are created. The economic rationale for this change simply doesn't hold up.
That means this is the moment to reconsider how you save, and not be pressured by the government into shares if that is not what you think is right for you.
Stock markets don't fund investment. Why, then, do we worship them?: