Reeves promised a “new, simpler” way to help first-time buyers onto the property ladder.
There will be a consultation in early 2026 on what could be a replacement for the Lifetime Isa (Lisa).
Anyone under 40 can open a Lisa to either help save towards retirement or buy a first home. Savers can put in up to £4,000 a year and the government will top it up by 25%.
Frequent complaints about the Lisa include that savers face a penalty for withdrawing money early, meaning they could lose 6.25% of their own savings.
Critics have also called for the £450,000 threshold for properties eligible to be purchased using a Lisa to be increased, having been unchanged since 2017.
The consultation could also see the retirement aspect of Lisas removed in favour of focusing solely on first-time buyers.
