isa question on upcoming budget .

alfmurph

I know we are guessing but i will ask anyway .
With the rumours isa tax free allowance is to be cut by half will this apply to new isa savings only .
I have 40k in a 3 year fix which ends in may 2026 and another 60k in a 3 year fix ending april 2027 .
All being well i would like to transfer to new isa accounts after these dates .
I am 72 years old so stock and shares isa is not for me .

subjecttocontract

My guess is any change will only apply to new money.

Sachakins

If you mean the yearly allowance being possibly cut from 20k to 10k, this is the limt on adding money into isa in the tax year
If you transfer existing isas to other isa using the correct usage transfer procedure it will not be affected.
That assumes she hasn't got something else up her sleeve apart from max allowance cut!

flaneurs_lobster

Pretty safe bet that any reduction will only apply to new subscriptions.

Mind you, would be an interesting "boost" to the economy if everyone had to reduce their Cash ISA holdings to £10k...

NorthYorkie

Let's be clear on this. Any reduction of the £20,000 limit would apply for a whole tax year. Therefore it would be impractical for this to apply to new contributions after a date other than the start of a tax year. So, if introduced, it would apply from 6 April 2026 at the earliest.

dunstonh

The ISA allowance is a contribution allowance.  Any changes to the contribution allowance will only impact on contributions.

I am 72 years old so stock and shares isa is not for me .

72 is a bit young to be thinking like that.  Normally its in your 80s that you start feeling that way.

Ocelot

dunstonh said:

The ISA allowance is a contribution allowance.  Any changes to the contribution allowance will only impact on contributions.

I am 72 years old so stock and shares isa is not for me .

72 is a bit young to be thinking like that.  Normally its in your 80s that you start feeling that way.

I feel the same and I'm 60.