Lifetime ISA

The Chancellor Jeremy Hunt has hinted help could be on the way for first-time buyers who face losing £1,000s of their own savings when withdrawing funds from Lifetime ISAs (LISAs) to buy homes above the scheme's property price limit. MoneySavingExpert.com (MSE) founder Martin Lewis challenged Mr Hunt over the issue during an interview in the latest episode of ITV's The Martin Lewis Money Show Live.

A raft of changes for savers using ISAs – savings accounts where you'll never pay tax on the interest – have been announced by the Chancellor in today's Autumn Statement. However, Jeremy Hunt failed to address MoneySavingExpert.com's calls for a shake-up to Lifetime ISAs. 

Martin Lewis, MoneySavingExpert.com’s (MSE's) founder and chair, is today strengthening his call for the Chancellor to overhaul the Lifetime ISA (LISA) in his 22 November Autumn Statement. Young savers should not be essentially fined – and lose their hard-saved cash – when they purchase homes above the scheme's £450,000 limit. This is a problem that leaves far more at risk now than when LISAs launched in 2017.

Interest rates are up, so ISAs are back for many – yet you need to sort them by 5 April (or likely sooner).

Change is needed to help half a million younger people with Lifetime ISAs as many risk lock-out and £1,000+ in fines to get their money back.

Share Centre Lifetime ISA (LISA) customers will see their accounts transferred to OneFamily in July, while any cash currently held will be automatically invested. If you don't want to move to OneFamily or have your savings automatically invested, you need to request a transfer to a new provider as soon as possible.

Lifetime ISA providers are setting early deadlines for savers who want to withdraw cash penalty-free without using it for a first home or retirement – so if you want to do that, don't wait until the official early April cut-off. In some cases savers have just days to make a penalty-free withdrawal – we've a full provider-by-provider breakdown below. 

Over 40% of Nationwide's Help to Buy ISA accounts were opened in the final week before the deadline, as a last-minute rush saw over 300,000 applications at the building society alone – but if you missed out, you can still boost your savings with a Lifetime ISA.

Unity Mutual has launched a new type of stocks & shares Lifetime ISA, offering a guaranteed 1.25% interest rate until April, as well as a 25% Government bonus towards your first home or retirement – here's what to watch out for. 

Newcastle Building Society has launched a market-leading cash Lifetime ISA – making it only the third provider to offer this type of savings account, which offers a 25% bonus towards buying your first home or retirement.