Treasury Committee chair Dame Meg Hillier has welcomed the Government's decision to retain the £20,000 annual cash ISA subscription limit.
The Chancellor confirmed the decision in the Budget, cancelling planned changes that the committee had opposed in a report published last year.
Hillier argued that a more complicated system would have confused customers and caused problems for building societies, which rely on cash ISA deposits as a source of funding.
She described the reversal as a victory for common sense and said the next priority should be better financial education and access to reliable savings advice.
The decision preserves the amount that can be subscribed to a cash ISA each tax year. It does not guarantee a particular interest rate or investment return, and the overall rules governing individual eligibility remain in place.
The outcome is a concrete instance of committee scrutiny changing a planned policy. The Government has retained the existing limit rather than merely opening a consultation on whether to do so.
