Cash ISA limit from April 2027: what changes and what stays
Published · 2 min read · Figures checked . UK rules and rates change, so check the official sources below before you act.
The cash ISA limit is due to change from 6 April 2027 for people under 65. Here is how the announced change fits with the overall ISA allowance, and what savers should check before moving money.
The limit for the current tax year
For the 2026/27 tax year, the overall ISA subscription limit is £20,000. The current cash ISA limit is also up to £20,000 within that overall allowance, so you can split contributions across eligible ISA types without exceeding the total.
What changes in April 2027
Under the government's announced reform, from 6 April 2027 the annual cash ISA subscription limit will fall to £12,000 for people under 65. The overall ISA allowance will remain £20,000. People aged 65 or over will retain a £20,000 cash ISA limit.
The change concerns new annual subscriptions, not savings already held in a cash ISA. The government has also announced related rules around cash held in non-cash ISAs and transfers into cash ISAs. Those details matter if you plan to use a stocks and shares ISA as a temporary home for cash.
What this could mean for you
- If you are under 65, you will still have a £20,000 overall ISA allowance, but no more than £12,000 of new contributions can go into cash ISAs under the announced rules.
- If you are 65 or over, the cash ISA limit is due to remain £20,000.
- A stocks and shares ISA is not a like-for-like substitute for cash savings: investments can fall in value and are generally intended for a different time horizon.
- You do not need to move existing ISA savings just because the limit is changing. Check your provider's terms and the final rules before acting.
Check before you act
This is general information, not personal financial advice. The reform is scheduled to take effect on 6 April 2027 and supporting rules may be updated. Confirm the latest GOV.UK guidance and speak to your ISA provider if you are unsure how a transfer or contribution will be treated.
Sources
For information only. See our disclaimer and editorial standards. Spotted an error? Tell us.
