ISAs

The cash ISA limit in 2027: it stays at £20,000

The cash ISA limit stays at £20,000 a year in 2027/28, for every age. A cut for under-65s was announced for April 2027, and Budget 2026 decided not to make it.

Cash ISAs now

£20,000

You can pay your whole allowance into cash ISAs.

Cash ISAs in 2027/28

£20,000

For every age. The cut planned for under-65s is not going ahead.

What Budget 2026 decided

The cash ISA limit stays at £20,000, for every age. A lower limit for under-65s from 6 April 2027 had been announced. Budget 2026 decided not to make it.
The overall allowance is unchanged. It’s still £20,000 in total, and all of it can be cash.
Tax on savings interest outside an ISA is planned to rise. From 6 April 2027 the rates are planned to be 24%, 44% and 49%, subject to Parliament. Interest inside a cash ISA stays tax-free.
Cash inside a Stocks & Shares ISA is charged 24%. Interest on cash left uninvested inside an investment ISA is charged at 24% from 6 April 2027. Cash in an ordinary cash ISA is unaffected.
Moving invested ISA money to cash becomes one-way. From 6 April 2027, under-65s can no longer transfer a Stocks & Shares ISA into a cash ISA. Cash into investments still works.

What it means for your savings

The cash ISA or savings calculator compares the two after tax on your own balance, and the cash ISA rates list shows today’s rates.

Questions people ask

Is the cash ISA limit changing in 2027?: No. Budget 2026 decided not to reduce it: the most you can pay into cash ISAs in 2027/28 is £20,000, for every age.
Does the overall ISA allowance change in 2027?: No. The overall ISA allowance stays £20,000, and all of it can go into cash ISAs.
What happens to money already in my cash ISA?: Nothing changes for it. The cash ISA limit is staying where it is.
Why is cash inside a Stocks & Shares ISA charged 24%?: From 6 April 2027, interest on cash left uninvested inside a Stocks & Shares ISA is charged at 24% (the new basic savings rate). Cash held in an ordinary cash ISA is not affected.
Can I still move a Stocks & Shares ISA into a cash ISA?: Until 5 April 2027, yes. From 6 April 2027, for under-65s, transfers from a Stocks & Shares ISA into a cash ISA are no longer allowed, so it becomes one-way. Cash into investments still works.

New to ISAs? Start with ISAs from zero.

General information about the 2027 ISA reform, not personal advice. Figures are the statutory limits for the relevant tax years.

What Budget 2026 decided

The cash ISA limit stays at £20,000, for every age. A lower limit for under-65s from 6 April 2027 had been announced. Budget 2026 decided not to make it.

The overall allowance is unchanged. It’s still £20,000 in total, and all of it can be cash.

Tax on savings interest outside an ISA is planned to rise. From 6 April 2027 the rates are planned to be 24%, 44% and 49%, subject to Parliament. Interest inside a cash ISA stays tax-free.

Cash inside a Stocks & Shares ISA is charged 24%. Interest on cash left uninvested inside an investment ISA is charged at 24% from 6 April 2027. Cash in an ordinary cash ISA is unaffected.

Moving invested ISA money to cash becomes one-way. From 6 April 2027, under-65s can no longer transfer a Stocks & Shares ISA into a cash ISA. Cash into investments still works.

Questions people ask

Is the cash ISA limit changing in 2027?

No. Budget 2026 decided not to reduce it: the most you can pay into cash ISAs in 2027/28 is £20,000, for every age.

Does the overall ISA allowance change in 2027?

No. The overall ISA allowance stays £20,000, and all of it can go into cash ISAs.

What happens to money already in my cash ISA?

Nothing changes for it. The cash ISA limit is staying where it is.

Why is cash inside a Stocks & Shares ISA charged 24%?

From 6 April 2027, interest on cash left uninvested inside a Stocks & Shares ISA is charged at 24% (the new basic savings rate). Cash held in an ordinary cash ISA is not affected.

Can I still move a Stocks & Shares ISA into a cash ISA?

Until 5 April 2027, yes. From 6 April 2027, for under-65s, transfers from a Stocks & Shares ISA into a cash ISA are no longer allowed, so it becomes one-way. Cash into investments still works.