ISAs
The 2027 ISA changes, explained plainly
From 6 April 2027 the cash-ISA limit drops to £12,000 for under-65s. The overall £20,000 allowance is unchanged. Here's what that means — information, not advice.
Cash ISAs now
£20,000
You can pay your whole allowance into cash ISAs today.
Cash ISAs from 6 April 2027 (under 65)
£12,000
The rest of your £20,000 can still go into a Stocks & Shares or Lifetime ISA.
What actually changes
- The cash-ISA limit becomes £12,000 for under-65s. Today you can put your whole £20,000 into cash ISAs. From 6 April 2027, under-65s can put in at most £12,000. From age 65 you keep the full £20,000 in cash.
- The overall allowance is unchanged. It’s still £20,000 in total — only how much can be cash changes.
- Cash inside a Stocks & Shares ISA is charged 22%. Interest on cash left uninvested inside an investment ISA is charged at 22% 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 the cash cap means for your £X
Enter how much you’d put into cash ISAs and see how the 6 April 2027 rules would split it. Free, nothing saved.
From 6 April 2027 the cash-ISA limit for under-65s is £12,000. Of your £15,000 plan:
- Fits in cash ISAs£12,000
- Above the cash limit — could still go into a Stocks & Shares or Lifetime ISA£3,000
The overall £20,000 ISA allowance is unchanged — only how much of it can be cash changes. This shows where money would be allowed to go, not where it should.
Free information for the 2027/28 tax year onward, not personal advice. Nothing is saved.
Questions people ask
- What is changing for cash ISAs in 2027?
- From 6 April 2027, the most you can pay into cash ISAs in a tax year is £12,000 if you're under 65. People aged 65 and over keep the full £20,000 in cash. The overall £20,000 ISA allowance is unchanged.
- Does the overall ISA allowance change in 2027?
- No. The overall ISA allowance stays £20,000. Only the amount of it that can go into cash ISAs is capped (to £12,000 for under-65s). The rest can still go into a Stocks & Shares or Lifetime ISA.
- What happens to money already in my cash ISA?
- Nothing. The change applies to new subscriptions from 6 April 2027 onward, not to balances you already hold. Existing ISA money is unaffected.
- Why is cash inside a Stocks & Shares ISA charged 22%?
- From 6 April 2027, interest on cash left uninvested inside a Stocks & Shares ISA is charged at 22% (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 — it becomes one-way. Cash into investments still works.
Want the full walkthrough? Read The 2027 ISA changes, plainly — part of the free ISAs-from-zero path.
Start with ISAs explained in 5 minutesGeneral information about the 2027 ISA reform, not personal advice. Figures are the statutory limits for the relevant tax years.