Lifetime Isa withdrawal penalty reduction should stay

The temporary reduction in the withdrawal charge is a step in the right direction, but the Treasury must now go further. It must make the reduction permanent to allow the Lifetime Isa to fulfil its potential and become the default savings product for young people.

We know that the impact of this economic downturn may be far-reaching and we need to be doing everything we can to support young people. This small tweak to an existing product would have a disproportionately positive impact and give millions of young savers access to the boost they need.

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Ben Stanway is co-founder of Moneybox