Guides · tax year 2026/27
ISAs, explained
How Individual Savings Accounts work: the four adult types, the Junior ISA, the £20,000 allowance for 2026/27, what happens at the end of the tax year, and the changes already confirmed for April 2027.
Figures checked against GOV.UK and other official sources on
- ISA allowance
- £20,000
- Total across all your adult ISAs in the tax year. The government has said it will stay at £20,000 until 05/04/2031.
- GOV.UK — Individual Savings Accounts (ISAs), checked
- Lifetime ISA limit
- £4,000 a year
- Counts towards the £20,000 ISA allowance. Open aged 18 to 39; payments allowed until age 50.
- GOV.UK — Lifetime ISA, checked
- Junior ISA limit
- £9,000
- Per child, across their cash and stocks and shares Junior ISAs combined.
- GOV.UK — Junior Individual Savings Accounts (ISA), checked
- Cash ISA limit from 06/04/2027 (under 65)
- £12,000
- Applies from the 2027/28 tax year to people aged 64 or under at the end of the tax year. People aged 65 or over keep a £20,000 cash ISA limit. The overall ISA allowance stays £20,000. Made law by SI 2026/1018 on 10/09/2026.
- legislation.gov.uk: The Individual Savings Account (Amendment) (No. 2) Regulations 2026 (SI 2026/1018), checked
6 ISA guides
- ISA basicsWhat is an ISA and how does it work?An ISA (Individual Savings Account) lets you hold cash or investments without paying UK tax on the interest, income or gains. In the 2026/27 tax year you can pay in up to £20,000 in total across your ISAs.Read the guide
- Stocks and shares ISAWhat is a stocks and shares ISA?A stocks and shares ISA — often called an investment ISA — holds investments such as funds, shares and bonds, with no UK tax on the income or gains they produce. Their value can fall as well as rise, so you could get back less than you put in.Read the guide
- Cash ISAWhat is a cash ISA?A cash ISA is a savings account where the interest is free of UK Income Tax. In 2026/27 you can pay in up to £20,000; from 06/04/2027 the cash ISA limit falls to £12,000 a year for people aged under 65.Read the guide
- Lifetime ISAWhat is a Lifetime ISA?A Lifetime ISA lets people who open it aged 18 to 39 save up to £4,000 a year towards a first home or for later life, with a 25% government bonus. Money taken out for other reasons before age 60 usually has a 25% withdrawal charge.Read the guide
- Junior ISAWhat is a Junior ISA?A Junior ISA is a tax-free savings or investment account for a child under 18 who lives in the UK. Up to £9,000 can be paid in for each child in the 2026/27 tax year, and the money belongs to the child.Read the guide
- The ISA deadlineWhat happens to my ISA allowance at the end of the tax year?Your ISA allowance resets every tax year, and the 2026/27 tax year ends on 05/04/2027. Any part of the £20,000 not used by then is lost and cannot be carried forward.Read the guide
Funds for a stocks and shares ISA
Fundology lists UK-listed funds with their charges in pounds, returns before and after inflation, and holdings. Which fund suits anyone depends on their circumstances; the lists are information, not a shortlist.
This is information, not advice. For free, impartial guidance, MoneyHelper (backed by the government) can help; for a personal recommendation, speak to a regulated financial adviser.