ISAs 'should not be the only accounts' offering tax benefits

Ministers should give more of the nation's savers the chance to gain tax-free interest, according to one expert.

The Save Our Savers Co-Founder Jason Riddle feels that cash ISAs should not be the only accounts that offer tax benefits to people based in the UK.

He commented that his organisation would like to see the coalition government "commit to ending taxation on interest income for at least the first £5,000 of interest received in order for all savers to gain relief from this unjust tax".

Meanwhile, the expert also discussed the impact that inflation appears to be having on people's savings at the present time.

With interest rates low and inflation fairly high, Mr Riddle suggests that people are having to face up to an erosion in the value of their savings.

Between May and June of this year, the country's CPI annual inflation rate dropped from a level of 3.4% to 3.2%, the Office for National Statistics has revealed.

Posted by Liam Tomlinson.