Budget 2016 puts the next generation first and redoubles our efforts to make Britain fit for the future.
We are introducing a new Lifetime ISA to help the next generation to save. We know people like the simplicity of ISAs so we’re increasing the ISA limit from just over £15,000 to £20,000 for everyone. For those under 40, many of whom haven’t had such a good deal from pensions, we’re going to introduce a completely new Lifetime ISA.
With the Lifetime ISA, you won’t have to choose between saving for your first home, or saving for your retirement – the government is going to give you money to do both. For every £4 saved, the Government will give you £1. So put in £4,000 each year and the government will give you £1,000 every year until you’re 50.
The British economy is stronger because we confronted our country's problems and took the difficult decisions, but we now face a dangerous cocktail of global risks. Britain is well prepared to handle this challenge, but only by acting now so we don't pay later.
This Budget puts stability first with long term solutions to long term problems.