Investors and savers in the UK are shunning the potential of tax free equity-linked ISAs in favour of a simple cash only account a survey has shown.

A poll carried out on behalf of New Star found that 44 per cent of British people who are looking to invest would prefer cash-based assets compared to just 11 per cent who are turning to stock ISAs to reach their full tax free threshold.

In total, the research showed that almost two-thirds of the respondents planned to foreit some of their potentially tax-free ISA limits while 19 percent felt uncertain as to how they would invest any cash they had to save even if they were obliged to.

Another concern is that only 38 per cent of people thought that they would use their full cash ISA allowance before the end of the tax year occurs early in April.

Marketing Director at New Star, Richard Wilson, commented: "The opportunity cost to investors over the long term from both a tax and investment perspective could be significant. The survey suggests that the majority of investors may be relinquishing the opportunity to protect up to £7,000 from the clutches of the taxman."

If you want to take full advantage of your mini cash ISA or a maxi ISA you should make sure you open an account before April 5 or face loosing this tax year's potential savings.