March Isa rush boosts Nationwide Savings Index

A three-point rise was seen in the Nationwide Savings Index last month, it has been reported.

Some 51 per cent of consumers said they were saving regularly in March, compared to the 48 per cent recorded in February's survey.

And according to Nationwide, a rush to use up the 2009-10 tax-free Isa allowance may have contributed to the increase.

Savers had until April 5th to either use or lose last year's allowance, which was £10,200 for over 50s and £7,200 for younger savers.

And Andy Hutchinson, Nationwide's head of savings, said that as predicted, many people chose to open up new Isa accounts before the end of the tax year.

"We expect to see around two thirds of the total Isa business in the savings industry happen between February and March," he stated.

"Now that the new tax year has started, some savers' attention will be switched onto saving as early as possible in an Isa to maximise their tax benefit."

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2010-04-13 13:30:45 © Moneyextra.com