How to boost your house deposit with a Lifetime ISA | Future Focus
On this week's episode of Yahoo Finance Future Focus, our host Brian McGleenon speaks with Moneybox’s head of personal finance, Brian Byrnes, who explains how the Lifetime ISA proves to be an invaluable savings tool for first-time home buyers in the UK — even in a challenging market marked by soaring house prices and rising interest rates. Byrnes highlights that the Lifetime ISA offers a 25% government top-up on yearly deposits (up to £4,000), effectively giving savers an extra £1,000 each year to help build their home deposit. He describes it as a game-changing product, particularly important during a cost-of-living crisis where every pound counts. At the same time, Byrnes quickly points out that the Lifetime ISA is not a one-size-fits-all solution. With restrictions like the £450,000 property price cap and the requirement to open an account before your 40th birthday, the tool presents challenges in high-cost regions. Moneybox actively lobbies for adjustments to these limitations—such as an annual review of the cap and a reduction in the withdrawal penalty — to ensure the product remains effective for today’s savers.
