Hargreaves Lansdown has seen the value of its total shares rocket by £860m within two hours to £7.11bn, following shake-ups announced as part of today’s (19 March) Budget.
At 1.25pm Hargreaves’ shares were valued at £13.18, equating to a total valuation of £6.25bn. By 3.35pm this had jumped to £14.99 per share, giving a market capitalisation of £7.11bn.
During today’s Budget speech, chancellor George Osborne said the annual Isa allowance will be increased from £11,520 to £15,000 1 July. The increased limit will apply to a single Isa, which combines the current Cash and Stocks & Shares wrappers.
Mr Osborne said:“Twenty four million people in this country have an Isa. And yet millions of them would like to save more than the annual limits of around five and a half thousand pounds on cash ISAs, and eleven and a half thousand pounds on stocks & shares Isas.
“Three quarters of those who hit the cash Isa limit are basic rate taxpayers. So we will make Isas simpler by merging the cash and stocks Isas to create a single New Isa.
“We will make them more flexible by allowing savers to transfer all of the Isas they already have from stocks & shares into cash, or the other way around.”
Earlier today, FTAdviser revealed the value of listed annuity providers had fallen by £3.2bn in one hour after Mr Osborne made sweeping changes to the way retirees can draw an income from their pension pots.
The combined share value of Aviva, Just Retirement, Legal & General, Partnership, Prudential, and Standard Life fell by £3,167m between 1:25pm - just before the bombshell announcement - and 2:25pm.