None
EN
Lifetime Isa replacement raises fears for retirement savers
['Tom Browne']
Money Marketing
HMRC has confirmed that the new Isa product intended to replace the Lifetime Isa (Lisa) will be focused solely on helping first-time buyers, prompting concern from parts of the industry about the future of retirement saving for younger and self-employed workers.
The government announced in the Autumn Budget that it would consult on the new Isa early this year.
Funds can be withdrawn penalty-free to buy a first home worth up to £450,000 or after age 60 for retirement.
“Self-employed individuals and others without access to a workplace pension can keep saving if they already have a Lifetime Isa.
Rachel Vahey: Lifetime Isa reform is long overdueSimilar concerns were raised by Maike Currie, vice-president for personal finance at PensionBee, who said the Lisa had become an important retirement savings vehicle despite its original design.