Its in a good cause, Mr Bond

The Budget allowed investors to buy several new types of investments in their ISAs. One is bonds issued by charities, and the Times reports that some new issues are being lined up.

Because the bonds will be listed on the London Stock Exchange, investors will be able to sell if they need to and with 4% or more interest on offer, demand is expected to be brisk.

The widening of the range of permitted ISA investments is welcome, but investors need to be aware that single investments carry significantly more risk than pooled investments like unit trusts – many of which also pay much better rates of income than bank deposits.