Savers see the enduring appeal of ISAs

More than a third of households are lawfully sheltering money from the taxman in ISAs, confirming uptake of the accounts has been healthy since their launch a decade ago.



Cash accounts were the favourite of the 14.2million people counted in March of last year with Individual Savings Accounts, as opposed to stocks and shares versions.



In March 2000 – a year after the tax-free status of ISA wrappers came in – there were only 9.3m ISA accounts, indicating that subscriptions since then have grown by 53%.



In turn, the total amount invested in ISAs has leapt (by 32%), most notably in cash ISAs which held £170billion at the end of last year, compared with £12.3bn in 2000.



The growth of ISAs shows that, despite many offering small returns today due to a low base rate, their appeal to savers is "enduring", said Halifax, issuing the figures.



People in the South East are the most likely to have one, the group said, with 44% of households with an active subscription, up on the national average of 37%.



The findings also show that the under-25s are investing the most in ISAs, followed by people aged 50-64, though the growth of the accounts is being led by women.