ISA tax year to start soon

With the new tax year about to start on 06 April, members will have the new full tax free savings Cash ISA allowance of £5,100 available.

In view of the current market rates and PCU's funding requirements, the new projected rate return for tax year 2010-2011 will be at least 2.5% pa.

New ISA accounts are welcome but transfers in from other ISA providers will not be possible. This restriction will be reviewed regularly.

Existing ISA account holders will be receiving  a letter regarding the above shortly and a statement for the current tax year, once " interest " has been credited. If any PCU ISA account holder has not used the full allowance of £3,600 ( or £5,100 for those aged 50 or over on or after 06 October 2009 ) for this tax year, the balancing amount may still be deposited with PCU prior to the tax year end.

Any member who has not paid into any Cash ISA in the current tax year may open a Cash ISA with PCU prior to 06 April 2010 and deposit up to the full tax-free allowance.