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NS&I ILC or Cash ISA?

Which do you think is better? For long-term savings wouldn't it be the ISA as that's tax-free for the forseeable future whereas the NS&I ILC ends after 5 years.

Am I missing something? Any advice appreciated.

Comments

  • lisyloo
    lisyloo Posts: 30,113 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    ILC can be rolled over at the end of the 5 years (in addition to any new allowances).
    This was even the case when they were withdrawn.

    So the question then becomes do you want an inflation linked product or not.
    Sometimes what you can get in a cash ISA is better than the linked rates, other times it's not.
    Personally I would go for some of both, as well as stocks & shares, property, gold etc. and have a balanced portfolio.
  • pem2
    pem2 Posts: 134 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    You can put up to £15000 in ILC, whereas you are only allowed up to £5340 in a cash ISA.
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