Overview
- Lewis told podcast listeners that savings themselves are not taxed, as tax applies only to interest earned.
- He noted that investments are taxed on profits through capital gains and potentially on dividends, not on the original amount invested.
- Responding to a listener worried about money being taken or taxed, he said fears of taxing lump sums would be a radical and unlikely shift.
- Deposits with regulated UK providers are covered by the Financial Services Compensation Scheme up to £120,000 per person per institution, a limit that replaced the prior £85,000 cap.
- Keeping cash at home typically leaves only about £1,000 covered by home insurance, making savings accounts the safer like-for-like choice.