Income tax: Personal allowances rise today – savings tips shared on ISAs, pensions & debt | Personal Finance | Finance

“The start of the tax year gives a real opportunity for people to reevaluate their finances, and to get their priorities or financial foundations in place before deciding whether or not to invest.

“We’d advise creating different pots of money for the different goals or objectives you have this year, such as an emergency fund, short term cash savings, medium term S&S ISA or investment accounts, long term pension/LISA etc.

“The increase on the personal allowance threshold is limited this year, so while it will result in people having a marginally higher net income after taxes, people shouldn’t rely on changes to materially influence their savings strategy.

“The additional income is however ‘free’ relative to this tax year, and so it could be used to pay down on debts or overdrafts for anyone with unsecured debt.”

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