§ Mr. LoughtonTo ask the Chancellor of the Exchequer what steps he is taking to ensure that national savings products comply with the CAT standard mark being applied to certain ISA products. [56635]
§ Ms HewittThe CAT standard is a voluntary set of requirements designed specifically for the new Individual Savings Account. Their purpose is to support savings through ISAs by encouraging minimum standards for charges, access and terms.
There is no intention that the CAT standards should apply to other forms of savings, whether those savings are provided by National Savings or anyone else. There is a huge range of savings products catering for many different needs. Many National Savings products are Bond or Certificate products which are mainly lump sum investments at fixed rates. It is wholly inappropriate to compare the CAT standards designed for cash ISAs against such products.
I am pleased to be able to confirm that National Savings plan to introduce a new savings account specifically for inclusion within an ISA which they fully expect will meet the CAT standards.