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Rachel Reeves has been tipped to reduce the cash ISA allowance in her upcoming Autumn Budget, with personal finance experts issuing a warning. The move to cut the allowance to £10,000 could backfire on UK households, it is warned.

Rob Mansfield, Independent Financial Advisor at Tonbridge-based Rootes Wealth Management, told the Financial Times : "This looks like nothing more than a tax grab.

"My experience is that lots of people only think about cash ISAs, rather than stocks and shares ISAs and so if the limit is reduced, we'd likely see cash held where the interest is taxed.

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"If the government are serious about wanting people to invest then tell people of the benefits and rewards of l

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