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ISA versus NSI 3 year Infaltion Beater

I am 61 a lower rate tax payer.
My M&S ISA for £15000 is maturing this month.
Am I better to reinvest with an ISA or invest in NSI 3 year inflation proof bond.
In other do you think inflation rates will increase over the next 3 years.

Comments

  • le_loup
    le_loup Posts: 4,047 Forumite
    Why do you think our guess would be any better than yours?
    My guess is that the NS&I will be better at the moment. But, hey, I've been wrong before!
  • Mickygg
    Mickygg Posts: 1,737 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    I strongly recommend you keep it within an isa. Inflation wil be controlled if it goes much higher, whereas interest rates will at some point increase. The forecast for inflation is to drop back to 2% in a years time, but who knows whether this will happen.
    Isas don't seem great at the moment but they have more potential to increase over the ilsc.
  • fairtrade
    fairtrade Posts: 476 Forumite
    The forecast for inflation, and the Bank of England target, was to be within 2% over the proceeding 2 years. This was not achieved.
    Past performance is not a guarantee of future events.
    For myself I am an optimist - there does not seem to be much use being anything else.
    Sir Winston Churchill
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