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ISA guides

Plain English guides to how ISAs work, the rules on allowances, transfers and deadlines, and what the Budget changed for 2027. Each one answers the question first and links every rule to its gov.uk source.

The 2027 changes and the Budget

  • ISA changes 2027 The Budget on 28 October 2026 cancelled the £12,000 Cash ISA limit. What is confirmed for April 2027, what is unconfirmed, and what stays the same.
  • Cash ISA limit The Budget on 28 October 2026 cancelled the £12,000 Cash ISA limit for under-65s. The limit stays £20,000 at every age. What was planned and what is next.
  • Over 65s The age-65 rule belonged to the £12,000 Cash ISA cap, which the Budget cancelled on 28 October 2026. The limit stays £20,000 at every age. What the rule was.
  • Cash in an S&S ISA HMRC planned a 22% charge on interest from cash in Stocks and Shares ISAs from April 2027. The Budget does not mention it. What was planned and what is unconfirmed.
  • Transfers after 2027 HMRC planned to block Stocks and Shares to Cash ISA transfers for under-65s from April 2027. The Budget does not mention it. What is allowed and what we know.
  • Before April 2027 The £12,000 Cash ISA cap was cancelled on 28 October 2026, so there is no cash limit change to beat in April 2027. What the 5 April deadline still means.
  • Alternatives to a Cash ISA The Cash ISA limit stays £20,000, but a Cash ISA is not the only home for savings. Other ISAs, savings accounts and Premium Bonds, side by side.

ISA basics

  • ISA rules Every ISA rule for 2026/27 on one page: the £20,000 allowance, who can open which ISA, transfers, withdrawals, tax and what the Budget changed for 2027.
  • What is an ISA An ISA is a tax-free wrapper for savings or investments, with a £20,000 yearly allowance. The types, who can open one, and what's changing in 2027.
  • What is a Cash ISA A Cash ISA is a savings account where the interest is tax-free. Who can open one, how much you can pay in, the types, and what changes on 6 April 2027.
  • What is a Stocks and Shares ISA A Stocks and Shares ISA is a tax-free wrapper for investments. How it works, what it can hold, the costs and the risks. Your capital is at risk.
  • What an ISA can hold Cash ISAs hold savings, Stocks and Shares ISAs hold shares, funds and bonds, and Innovative Finance ISAs hold loans and crypto notes. What each ISA allows.
  • ISA allowance The 2026/27 ISA allowance and limit is £20,000, shared across cash, Stocks and Shares, innovative finance and Lifetime ISAs. How it splits, and what changes.
  • ISA allowance history ISA limits for every tax year since ISAs began in April 1999: the overall and Cash ISA limits from £7,000 to £20,000, plus Junior and Lifetime ISA limits.
  • How to open an ISA To open an ISA you must be 18 or over, resident in the UK and have your National Insurance number. Who can open each type, how to apply and what to expect.
  • How many ISAs Since 6 April 2024, you can pay into more than one ISA of the same type in a tax year. What actually limits you now, with examples and exceptions.
  • Joint ISA No. gov.uk says you cannot hold an ISA with someone else. Each person has their own £20,000 allowance, so a couple can save up to £40,000 a year in ISAs.
  • ISA tax No. You pay no tax on interest, income or gains inside an ISA and you do not declare them. How it compares with savings outside one, and what changes in 2027.
  • Personal Savings Allowance Basic rate taxpayers can earn £1,000 of savings interest tax-free in 2026/27, higher rate £500 and additional rate £0. ISA interest does not count.

Using your ISA

  • Cash ISA interest on £10,000 or £20,000 £10,000 earns £100 a year for every 1% of AER in a Cash ISA, and £20,000 earns £200. Worked examples from our rate tables, by month and over five years.
  • Monthly or annual interest Many Cash ISAs let you take interest monthly or annually. The monthly rate looks lower, but the AER shows how they compare. Paid-out interest leaves the ISA.
  • Taking money out Yes, from most ISAs at any time without losing tax benefits. Terms, notice periods and fixed terms can add charges, and Lifetime and Junior ISAs differ.
  • ISA transfer Move an ISA by asking your new provider to transfer it, not by withdrawing the cash. How transfers work, how long they take, and what changes in 2027.
  • Flexible ISA A flexible ISA lets you take cash out and pay it back in during the same tax year without losing allowance. How it works, and how to check yours.
  • ISA deadline The ISA deadline for 2026/27 is midnight on 5 April 2027. Unused allowance is lost, and a new £20,000 allowance starts on 6 April 2027.
  • Paid too much into an ISA HMRC's rules remove the excess and any gains from the ISA, and tax can be due on its interest. What happens next, and which payments do not use allowance.

Age and family

  • ISA age limits You must be 18 to open a Cash, Stocks and Shares, Innovative Finance or Lifetime ISA. See each type's age limit and why age no longer affects the Cash ISA limit.
  • ISAs for over 50s and 60s There is no ISA only for over 50s or 60s: the same ISAs and £20,000 allowance apply. Age rules at 50, 60 and 65, what happens on death and Cash ISA rates.
  • Grandparents and Junior ISAs Anyone can pay into a Junior ISA, up to £9,000 in total for 2026/27. How grandparents can pay in, the £100 interest rule and Inheritance Tax gift rules.
  • Junior ISA at 18 A Junior ISA turns into an adult ISA automatically when the child turns 18, and they can take out any money in it. What changes, and the adult ISA limits.
  • Junior ISA vs savings account A Junior ISA is tax-free, normally locked until 18, with a £9,000 limit in 2026/27. A children's savings account is outside an ISA, so interest can be taxed.
  • Child Trust Fund A Child Trust Fund is a tax-free savings account for children born from 2002 to 2011. How to find one, what happens at 16 and 18, and moving it to an ISA.

Investing in an ISA

  • Index tracker and ETF ISAs An index tracker or ETF can be held in a Stocks and Shares ISA if it qualifies. How they differ, what they cost, global trackers and risks. Capital at risk.
  • Share dealing ISAs A share dealing ISA is a Stocks and Shares ISA where you pick the shares yourself. Which shares qualify, stamp duty, dealing and FX fees, tax and risks.
  • Ready-made portfolio ISAs A ready-made portfolio ISA is a Stocks and Shares ISA where a provider picks and manages a mix of investments for a risk level. Costs and risks explained.
  • Ethical ISAs There is no separate ethical ISA: it is a Stocks and Shares ISA holding ethical or sustainable funds. The FCA's four labels explained. Capital at risk.

Choosing an ISA

  • Is an ISA worth it? For many savers an ISA's tax advantage is small in 2026/27, because allowances already cover their interest. When it matters more, and what you give up.
  • ISA vs savings account A taxable savings account can match a Cash ISA while your interest stays within your Personal Savings Allowance. Here is where that stops being true.
  • Cash ISA vs Stocks and Shares ISA A Cash ISA protects your capital and pays interest. A Stocks and Shares ISA can fall as well as rise. A neutral look at risk, access and FSCS protection.
  • Innovative Finance ISA An Innovative Finance ISA holds peer-to-peer loans and similar investments tax-free. It carries risks a Cash ISA does not, including no FSCS deposit cover.
  • Crypto in an ISA Coins and tokens cannot be held in any ISA. Cryptoasset exchange traded notes can sit in an Innovative Finance ISA, and the FCA treats them as high risk.
  • Help to Buy ISA Help to Buy ISAs closed to new savers in 2019. If you already have one, here is how the bonus works, the deadlines involved, and the Lifetime ISA rules.
  • ISA for a house deposit A Lifetime ISA adds a 25% bonus for a first home, a Help to Buy ISA is closed to new savers, and Cash ISAs and Stocks and Shares ISAs differ on risk.

More guides

  • Will Cash ISAs be taxed? No: Cash ISA interest stays tax-free, and the Budget cancelled the £12,000 limit. Savings tax outside an ISA rises to 24%, 44% and 49% from 6 April 2027.

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