To ask the Chancellor of the Exchequer by how much he estimates tax relief would be reduced as a result of applying (a) annual and (b) overall limits of (i) £5,000 and (ii) £50,000 to PEPs and TESSAs using the same assumptions on how individuals would invest their capital as are used in calculating tax relief in the consultative document on ISAs. [34960]

The Exchequer effect would depend on a number of factors including how these limits would replace the current limits for PEPs and TESSAs, and in particular, whether there were separate limits on the amount which could be subscribed to, or held in, the TESSA.

To ask the Chancellor of the Exchequer if uninvested cash within the equity element of the ISA will qualify for interest payable to the investor. [36326]

[holding answer 27 March 1998]: This aspect of the ISA scheme will be considered during the consultation on the Regulations in the next few months.