ISA Allowance 2025 / 2026
How to understand your ISA allowance
Understanding your ISA allowance is key to making the most of your tax-free savings. Each tax year, you get an ISA tax-free allowance, also known as the ISA yearly limit, which for 2025/26 is £20,000.This can be spread across different types of ISAs, including:
- Cash ISAs
- Stocks and Shares ISAs
- Innovative Finance ISAs
- Lifetime ISAs (annual limit of £4,000).
Parents or guardians can also open a Junior ISA for children under 18, with a separate annual limit of £9,000.
You can choose to put your full ISA allowance into one type of ISA or split it across several, depending on your savings goals.
Current ISA Allowances
ISA allowance for Adults
You can split your ISA allowance across different types of ISAs (listed below), as long as you don’t exceed the overall yearly ISA allowance.
For example, with a £20,000 ISA allowance, you could save £12,000 in a Stocks and Shares ISA, £4,000 in a Lifetime ISA, and £4,000 in a Cash ISA within the same tax year.
| ISA Product | Tax Year | Allowance |
| Cash, Stocks and Shares or Innovative Finance | 2025/2026 | £20,000 |
| Lifetime ISA | 2025/2026 | £4,000 |
ISA allowance for Children
Please see below for the children's ISA allowance:
| ISA Product | Tax Year | Allowance |
| Junior ISA | 2025/2026 | £9,000 |
| Child Trust Fund | 'Subscription year' (birthday to birthday) | £9,000 |
Important: A child cannot have both a Child Trust Fund (CTF) and a Junior ISA.
If your child already has a Child Trust Fund, they cannot open a Junior ISA unless the CTF is transferred into a Junior ISA.
FAQs
Your ISA allowance resets at the start of each tax year in early April. For the 2025/26 tax year, it began on 6th April.
If you accidentally go over your ISA allowance, HMRC may contact you to help sort it out. You’ll need to take out the extra money or move it elsewhere to keep things tax-free.
It’s best to contact your ISA provider or HMRC as soon as you realise, to resolve the issue quickly.
Important
The ISA allowance is set by HM Revenue & Customs (HMRC) and can change from one tax year to the next. To make the most of your tax-free savings and avoid any issues, it’s a good idea to stay up to date with the current limits and rules. Going over your allowance or not following HMRC guidelines could lead to tax penalties. If you’re ever unsure, check the latest info on the HMRC website or speak with a financial adviser.
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