David Liddell gives advice for an Investors Chronicle reader:
Marjorie is 74 and her pension income covers all her living expenses. Her home is mortgage-free and she also has a stocks and shares Individual Savings Account (ISA) worth £100,000 and £500,000 cash. The cash includes a number of fixed rate bonds which pay an interest rate of 4 per cent or higher, though these are now maturing. It also includes bonds which pay a lower rate of interest and instant access accounts, and she holds as much as she can in ISAs.