Simoney Kyriakou  

Why I'm fuming over Lisa getting dumped

Simoney Kyriakou

Simoney Kyriakou

There's a Facebook page called 'U OK Hun?', which pokes fun at people who are caught 'fuming' in the press.

I expect I will end up on this page, because I am fuming over MP Nicky Morgan's latest suggested solution to solving the 'savings crisis': killing off the Lifetime Isa.

We all know the Lisa hasn't been as popular as it could be, and I can count the number of providers of Lisa savings products without having to take my shoes and socks off. 

Article continues after advert

But for many thousands of people seeking to get a foothold on the housing ladder, and for many thousands more, like me, for whom the Lisa is part of a long-term savings portfolio for retirement, the move by the Treasury select committee to kick the Lisa to the kerb is abhorrent.

Those regular readers of Financial Adviser know I love my Lisa.

People I've talked to about it are also very happy with the way the Lisa is working for them.

In addition to my workplace pension provision and normal stocks-and-shares Isa, this additional security - knowing I can access it at 60 when I might have to wait eight or 10 years for my state pension (if that even exists by then) - is a key part of my retirement provision.

But now the government wants to take that away, too, in addition to the Department for Work & Pensions seemingly withdrawing from the implementation of a much-needed pensions dashboard. 

So we 30 to 40-year-olds who are trying to save not only have to cope with the lack of any dashboard - which we were hoping for next year - but also now face the loss of the Lisa because a failed education secretary-turned-chairperson of the Treasury select committee thinks the Lisa is too much trouble.

Basically, she means the government can't afford to pay the bonuses. Let's be honest here. 

Moreover, it wasn't so long ago politicians were suggesting people aged 40 plus should pay an additional tax to fund other people's long-term care provision.

In June, the Housing, Communities & Local Government and the Health & Social Care committees published a report which suggested the introduction of this 'Social Care Premium'.

With the government taking away from us Generation X-ers at every touch and turn, I have every right to be 'fuming'. 

Simoney Kyriakou is deputy editor of Financial Adviser