Skipton sets deadline for Lisa transfers

Skipton sets deadline for Lisa transfers

Savers looking to transfer their Isa funds into Skipton’s Lisa this tax year have until 1 March 2018 to do so.

The lender stated it had set the date to encourage people to beat the expected dash to transfer funds into the savings accounts.

Launched in June, the Lifetime Isa is designed to provide an incentive for people to save up for their first home or for their retirement.

Transferring from a Help to Buy Isa into a cash Lifetime Isa means savers can benefit from a larger maximum annual savings allowance of £4,000 a year and a 25 per cent government bonus on money saved in both this and previous tax years.

The Help to Buy Isa scheme is set to close on 30 November 2019, but existing savers will be able to continue to use the accounts until 1 December 2030.

Kris Brewster, head of products at Skipton Building Society, said: “There are reportedly over a million Help to Buy Isas and Skipton is the only Cash Lifetime Isa provider.

"So we're doing all we can to help people who want to transfer into our Lisa ahead of the new tax year, so they can take advantage of the bigger annual savings allowance and potential government bonus.

"This is a unique chance for first-time buyers to receive a significant boost on their savings. Not only does it allow people to maximise their annual savings allowance, but the 25 per cent government bonus supplied on combined Lisa and Help to Buy funds could, in many cases, be worth thousands of pounds and significantly help savers fast-track their progress towards owning a home."

Bob Riach, principal at Scunthorpe-based Riach Financial Advisers, said: "I think it is good they are encouraging people. It does make people think about saving for their deposit, rather than leaving it until the last minute."