Official HMRC figures show that of the UK’s 23.6 million ISA subscribers, more than 80% did not save their maximum allowance by the deadline on April 6, meaning personal investment opportunities were lost.

According to the Office for National Statistics, the average payment into an ISA last year was just over £3500, a collective loss to UK taxpayers of £240 billion worth of tax-free savings.

Colin Campbell, director of financial planning at Innovate Financial Services, said: "Currently individuals can invest up to £11,280 each year into an ISA, meaning a couple could invest a maximum of £22,560 with no further income or capital gains tax liability. Similarly, individuals will receive tax relief on all contributions to their pension schemes up to the maximum annual limit of £50,000."

Mr Campbell added: "The UK population growth, combined with increased life expectancy, is a sure sign of the need for people of all ages to prepare effectively for their future. The number of people aged 60 and above is expected to increase from 14 million to 27 million by 2060.

"With the retirement age only set to go in one direction, it is important people prepare themselves for a possible situation whereby state support during retirement may not be enough to meet their required standard of living.

"The Government is openly encouraging individuals to prepare themselves financially for retirement. The recent Budget underlined this – tipping the balance further in favour of HMRC approved tax efficient savings and investment schemes.

"Relatively simple measures can ensure any investments made now, work as efficiently as possible. As a nation we’re simply not saving enough and we all need to be more disciplined in managing our financial wellbeing and ensure that financial plans are set up in the most tax efficient manner to meet our personal objectives."