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Personal Savings: Interest Rates

Volume 493: debated on Tuesday 2 June 2009

To ask the Chancellor of the Exchequer what representations he has received since January 2009 on proposals to protect savers from the effect of low interest rates; what reply he gave; and if he will make a statement. (277002)

The Government receive a range of representations from groups and individuals on a wide range of topics, including savers. The Government announced at Budget 2009 that from 6 October 2009 the ISA limits will rise for people aged 50 and over to £10,200, of which up to £5,100 can be saved in cash. From 6 April 2010 the ISA limits will rise to these new levels for all savers. To offer additional support for older savers, Budget 2009 also announced an increase in the capital disregard for pension credit and pensioner related housing and council tax benefit to £10,000 from November 2009, and the launch of a tax-back campaign in autumn 2009, contacting low and middle income pensioners who may have overpaid tax on their savings income.