We live in a world where the only true constant is change and no more so than in taxation.

Your ISA allowance is one of the few constants you can get as an investor, so even in this currently benign tax environment, your ISA allowance should not be overlooked.

Having an ISA means you don’t have to pay income tax or capital gains on your returns and you don’t even have to declare ISA returns on your self-assessment form. This could make a significant difference to the value of your savings over the long term, particularly whilst preparing for, or taking income in, retirement.

The current ISA rules are:

  • From 6th April 2024, you can invest up to £20,000 in a Cash ISA or a Stocks and Shares ISA, or in any combination of the two up to the annual limit.
  • Transfers between Cash and Stocks and Shares ISAs can be made as many times as you wish.
  • You can make full or partial transfers of ISA fund, regardless of when you paid the money in.
  • You can also put money into multiple ISAs of the same type. For example, you could put money into two Cash ISAs and two Stocks and Shares ISAs.


In the Spring Budget in March 2024, the government announced their plans for a ‘UK ISA’ which will provide an additional £5,000 ISA allowance for people to invest in the UK.

The new UK ISA allowance will sit alongside the £20,000 that can be invested across other ISA wrappers currently available, but it is unclear yet whether the extra £5,000 will be limited to small and mid-cap companies or all UK companies.  Further details are expected following the consultation period, which will run from 6 March 2024 – 6 June 2024.

Get in touch

We advise many individuals on how to develop an investment strategy which is tax-efficient and make the best use of all your investments including existing ISAs, shares, and pensions.

For example, you may have existing shareholdings which are not being actively managed and should be diversified in the sheltered ISA wrapper to grow free of tax in the future.

For more details, please contact us.