However, he noted: “Despite Bed and SIPP being a less straightforward process, Bed and SIPP transfers in January 2023 were up 54 percent on interactive investor compared to January 2022, albeit from a lower base than Bed and ISA applications. The tangible increase started a little later, in January 2023.”
Mr Jobson continued: “A bitter cocktail of tax freezes and some reduced allowances mean that while headline tax rates haven’t risen, we’ll be paying more in tax over the coming years. But making the most of tax-efficient wrappers like ISAs and pensions could help protect your wealth from the taxman’s clutches.
“The impending swingeing cuts to the CGT and dividend tax threshold provides the impetus for investors to invest through a tax efficient wrapper if they haven’t already done so. Many of our customers were quick off the mark to do so after changes to both taxes were announced.”
Mr Jobson explained that shifting investments into an ISA can “protect” future gains and dividends from the clutches of tax, and it also means they will no longer need to be declared on a person’s self-assessment tax return.
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