Brits Missing Out On ISAs

British adults are losing £360 million a year in unnecessary savings tax by not taking out ISAs, Intelligent Finance's new survey has claimed.

Apparently 54 per cent of people with savings accounts – equating to around 9.25 million people in the UK – have not taken out an ISA and are thus not receiving the tax benefits that result.

Of the 4.4 million people whose savings accounts hold over £2,000, 49 per cent do not hold any plans to utilise their ISA allowance – an increase from last year's 42 per cent.

Nick Robinson, Intelligent Finance's managing director, said: "A significant number of savers are still losing out when it comes to making the most of their cash. At a time when average savings appear to have fallen, tax-free saving is now more important than ever before.

"ISAs are a great way to save, you don't get taxed on your savings interest, they pay very competitive rates and many allow instant access to cash – they should be every saver's first port of call."

The survey also showed that men are more likely to have a savings account than women, who are also slightly less willing to take advantage of their ISA allowances.