Isas, unit trusts or investment bonds?

the scrapping of the 10% tax credit on isas will make the decision as to which investment wrapper to recommend more complex for advisers

With the elimination of the 10% tax credit on equity Isas from 6 April this year, recommending Isas over other vehicles will become a more complex issue for intermediaries. Tom Hewitt, an intermediary training consultant, said Isas will remain a valuable tax-planning tool but will likely become more structured for higher-rate taxpayers after 6 April than for those who pay the basic rate of tax. This is because the CGT shelter portion of the product will remain, so in many cases it will be more useful for higher rate taxpayers. The elimination of the tax credit does not actually take away ...