Budget predictions / discussion

wmb194

Swipe said:

What's classed at British? Would be nice if I could add an extra £5K of FTSE Global All Cap to my ISA.

Annoyingly, it looks like the government hasn't actually decided:

"4.31 The UK ISA will support savers and open up UK retail investment opportunities for individuals. The UK ISA will be a £5,000 allowance in addition to the existing ISA allowance and will be a new tax-free product for people to invest in UK-focused assets. The government will consult on the details."

https://www.gov.uk/government/publications/spring-budget-2024

As I wrote above, it could just be companies and funds listed in London and domiciled for tax purposes in Britain, usually those with GB or possibly Channel Islands' (GG, JE) and Isle of Man (IM) ISIN codes. This would still open the way to use this for global investments e.g., the globally focused investment trusts. It could persuade fund houses to actually create some British domiciled ETFs.

Or could it be something very narrow, along the lines of VCTs that invest in early stage British companies? That would be pushing people towards far riskier investments, though.

ColdIron

Swipe said:

What's classed at British? Would be nice if I could add an extra £5K of FTSE Global All Cap to my ISA.

Some of us could once we know what it is. Shift £5,000 UK Equity into the BISA(?) and replace it with whatever global equity takes your fancy in your ISA

njm123

As predicted earlier in the thread - nothing good or bad for me in the budget, just a bit more in other peoples pockets so inflation will tick up a little bit (as people compete for limited good's and services - i.e. builders / plumbers etc.)

Knew that was happened I'm not part or any group that politicians are looking to attract the votes of.

Great British ISA - until we know the details hard to say as my British investments have seriously under performed other markets for a while.

British Savings Bond - depends on interest rate and cashflow at the time it's launched whether that is of interest.

SnowMan

Swipe said:

What's classed at British? Would be nice if I could add an extra £5K of FTSE Global All Cap to my ISA.

The consultation is here. There is clearly a lot of detail to sort out as to what UK means.

https://assets.publishing.service.gov.uk/media/65e734d62f2b3bd5107cd8c5/UK_ISA_Consultation.pdf

The intention is to include collective UK investments.

The UK ISA is clearly a gimmick that just adds serious complexity given that it will need to remain separate from other ISAs. If you read the document you will understand why it will be a real mess to set up and administer.

Those wanting to invest 25K in their ISA will simply allocate 5K to the UK ISA and put their non-UK element in a  normal ISA. So hard to see how it will increase investment in the UK.

Albermarle

friolento said:

Ocelot said:

MissHap said:

As one of the 12 million grey voters, any tinkering with the triple lock will lose the Tories votes so I'm betting he'll leave well alone and if LIEBORE get in its there problem.
The next tax year I WILL pay income tax on my state pension and this alone sticks in my throat!
I'm not averse to being taxed but dont give it me with one hand and then take it back with the next!
I've never voted Tory and not voted LIEBORE for over 25 years and don't intend to.
Normally I vote for an Independent candidate in both local and national elections, my belief is change can only come if you DONT vote for the 2 party shambles, unfortunately I'm in the minority nationally but locally we've had an independent candidate in our ward for a number of years, unfortunately in a 49 seat local council, 45 of them are LIEBORE!
My vote at the next GE.........................REFORM......................even if they don't gain a seat, its a message we need to send to the big 2 that we aint happy!

Re(tard)form* are just uber-Tories, run by tax-avoiding multi-millionaires. I'm not aware of any of their financial policies.

*see, I can make puns too!

Reform are not a Party but a company. There are no members, and no voting rights for their supporters. They have recently released their draft manifesto. The bit I was interested in - working age benefits, pensions and social care - were completely blank.I didn't check their other policies and promises.

We are now straying from the subject of this thread, into political discussions that shouldn't be had in this forum, so I won't say any more about Reform.

I will add one comment about Reform.

I don't recall them ever being mentioned before in this forum, apart from in this thread. So always a first time for everything.......

Albermarle

annabanana82 said:

I've always wondered why they don't reintroduce gambling tax, given the devastation a gambling addiction can cause and the enormous reported salary of Denise Coates it seems like it could be a win. 

At least Denise is resident in UK, and I believe she is the largest individual taxpayer in the country.
So when you back a loser with Bet365, at least you know a small part of it will make its way to the Treasury !

boingy

That budget says "autumn election" to me, with perhaps another mini-budget before it.

Money_Mad

SnowMan said:

Swipe said:

What's classed at British? Would be nice if I could add an extra £5K of FTSE Global All Cap to my ISA.

The consultation is here. There is clearly a lot of detail to sort out as to what UK means.

https://assets.publishing.service.gov.uk/media/65e734d62f2b3bd5107cd8c5/UK_ISA_Consultation.pdf

The intention is to include collective UK investments.

The UK ISA is clearly a gimmick that just adds serious complexity given that it will need to remain separate from other ISAs. If you read the document you will understand why it will be a real mess to set up and administer.

Those wanting to invest 25K in their ISA will simply allocate 5K to the UK ISA and put their non-UK element in a  normal ISA. So hard to see how it will increase investment in the UK.

That may be the case initially but over time if people continue to put £25k in, the proportion of UK stocks held will increase.

There is no logical reason why UK stocks should trade at a lower price to earnings or price to forward earnings ratios than stocks from the U.S. etc.

intalex

Could the BISA also improve the chances of more London listings if eligible investments were defined appropriately?

HappyHarry

As shares and investment funds deal in the secondary market, encouraging people to invest in already listed UK companies doesn't actually benefit UK companies, it just changes the makeup of their shareholders.