Investing in stocks and shares made me £9,000 – but I’ve moved it all back into cash ISAs

Samson Dada began saving into a stocks and shares ISA earlier this year, after a Government push to encourage more investing, following years of saving into cash ISAs. The 34-year-old began buying and selling stocks and shares after doing some research and has managed to make almost £9,000 in profit since March. However, he has now decided to move all the money back into cash. It follows John Healey using his first Budget to announce the planned change to Cash ISA limits had been scrapped. Former chancellor Rachel Reeves said last year the Government would cut the cash ISA allowance from £20,000 to £12,000 for those under the age of 65 – but this is no longer happening. Samson, who lives in Manchester and works as a senior publicist, says he was disappointed with the initial announcement, which was designed to encourage savers to invest money instead, and was due to come into effect from the start of the 2027/28 tax year. Yet he took heed of the Government, decided to research the stock market and invested. “I did always say that I would never put my money in stocks and shares because I was worried about the uncertainty of it – but I changed my position after constantly reading about how it is advisable to invest for the best growth potential. “I am happy to say I have not lost any money – in fact I have made almost £9,000.” Samson said that, while he has changed his mindset around investing in stocks and shares, doing so has also reinforced the importance of cash – and he has since moved all his money back into his cash ISA. “I am happy to hear that the planned reduction in the cash ISA allowance has been scrapped. When the Government announced they were going to reduce it last year, I wasn’t happy and I am glad they have reversed it. “The way to encourage people to save money and invest it in stocks and shares is not by reducing their cash ISA allowance. If you tell people they have to do something, they are less likely to do it. “It was totally the wrong approach. You need the carrot approach, not the stick approach.” Shorts He has five cash ISAs and says he will carry on putting money in them. He still uses stocks and shares but sells them when they are doing well. “Initially, I started off investing in lower risk and lower growth stocks and shares. But now, I have gone from being anti-stocks and shares to investing in high risk tech companies. “I have been investing large amounts because my risk appetite has gone up. There have been occasions where I have invested pretty much all of my cash in stocks and shares, but when they are doing well, I cash them out again. “But right now, I am 100 per cent cash again.” Samson was once ‘anti-stocks and shares’ but changed his mind after researching and educating himself about investing Samson believes the Government was “very naive” to initially expect that people would invest in something they did not fully understand. “Stocks and shares take a lot of reading about and analysing,” he said. “The Government can’t just expect to tell people that they should invest in stocks and shares and expect them to suddenly do it. “If the Government wants to encourage people to invest, they need a massive public relations campaign and to slowly educate people about investing. “I have a lot of spare money so I am in a privileged position. I am fortunate that I only have one job which pays a decent amount and I have time at the weekends to research about investing. The reason I changed my mind was because of financial education. “But for most people who are working and maybe juggling several jobs, they just don’t have the time or inclination to learn about stocks and shares. “If people are living pay cheque to pay cheque and trying to build up their savings pot, it would not have been a good idea to reduce their cash ISA allowance. “I am glad they have abandoned this plan.”