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However, she will be able to switch to tax-favoured individual savings accounts during 1999.
For example, one fund may be investing more in tax-favoured assets such as real property, or in overseas companies rather than in domestic companies.
Individual savings accounts will be created to continue to provide tax-favoured savings.
Pensions should not become a tax-favoured savings vehicle for non-pension purposes.
Individuals have time to consider their investments before the new rules take effect—for example, they can move to tax-favoured investments should they wish to do so.
Part of the finance to pay for that cut has come from the abolition of tax-favoured treatment of private medical insurance, which benefited just a few people.