Brits with regrets plan a better financial future

One in four people (25%) say they have regrets about how they have managed their savings in the last tax year according to new research from Selftrade, the online execution only broker.

At the start of the new tax year, over 4 million Brits may find themselves nursing a financial hangover in the realisation that they have not made the most of their savings, if at all. One in four (26%) adults said they chose to go on holiday last year rather than save for their future. The research reveals how Britons are striving to be more savvy this time round and have set themselves new tax year resolutions to fulfil.

Selftrade asked a GB representative sample of more than 1,000 adults with ISAs to look back on how they managed their ISA in the last tax year and what they would do differently in the new tax year. Of the 25% who pledged these new tax year resolutions, not withdrawing money from their fund halfway through the year was top of the list for one in three Britons (32%).

One in ten Britons (10%) said they wanted to be more adventurous with their investment options.

This year more than one in ten people (12%) said they would opt for a more diverse range of assets instead of a single investment because they encountered frustrations with the lack of variety of accounts available to them last year.

One in 25 (4%) said they would stop leaving their ISA choices until the last minute and look around for a better deal.

The younger generation were the biggest culprits for withdrawing money from their ISA during the tax year. Recognising this, more than one in two (55%) have put this on their tax year resolutions list so they do not lose out on the tax benefits this time round.

People living in the West Country had the most regrets – two in five people (41%) were not happy with the way they have managed their ISA last year, compared to just 21% of savvy Scots.

Top Tips for the ISA year ahead

Do not leave choices to the last minute – take time to plan and look around to get the best rate for your chosen ISA.

Cut back on going to your favourite coffee shop, grabbing that cappuccino on the way to work. The money you save could go towards an ISA

You don’t have to invest it in the markets immediately – it can sit as cash until you are ready.

Try not to withdraw money from your ISA during the year. If you do you will miss out on the tax breaks.

Invest as much as you can afford into an ISA – up to £7,200 and remember it is a tax break.

Stephen Barber, Head of Research at Selftrade commented: “An ISA can be a key component in an investment portfolio and it is encouraging that in the current climate, Britons recognise the need to manage their investments effectively. The new tax year is as sensible a time as any to get on top of our finances and current Market weakness means investment opportunities.”