ISA yearly allowance

pumas

EDIT - Has now contacted share dealer.
EDIT - Finally believed £20 limit, reversed 2nd ISA.
As I read it, you have a £20,000 allowance to put into any combination of different types of ISAs. My partner put £20,000 into a cash ISA earlier this year and has today opened a Shares ISA "using" (maybe, I know nothing of shares.) shares he's just sold.

Who is right?

InvesterJones

You can make a total of £20k new contributions each year, both S&S and Cash ISAs contribute to the same limit.

Selling shares wouldn't help, however if they were already in a S&S ISA then you can do a transfer (not sale) of previous year's ISA.

Cisco001

Each year is financial year.

Cash ISA allowance from 06/04/2026 is £12000 unless you are over 65

saajan_12

Its a total 20k allowance of new money into any combination of Cash and S&S ISAs. Old money can remain in an ISA and continue to grow.

• If he already had shares from a previous year's contribution in an S&S ISA, then he can sell those and buy new shares within the same account without affecting this years allowance.
• He cannot sell in one account and open in another himself, he would need the provider to do the transfer for him.
• If the shares were in a non-ISA account then transferring them to an S&S ISA would count as new money going into ISAs which he has no allowance for.

Malchester

https://forums.moneysavingexpert.com/discussion/comment/81868018#Comment_81868018

I am sure it is from 6/4/2027, not 2026

eskbanker

https://forums.moneysavingexpert.com/discussion/comment/81868018#Comment_81868018

No, the new rules don't come in until 2027.

friolento

https://forums.moneysavingexpert.com/discussion/comment/81868018#Comment_81868018

the £12k cash limit for under 65s comes into force on 6/4/2027

wmb194

https://forums.moneysavingexpert.com/discussion/comment/81868018#Comment_81868018

No, that’s from 2027 but you will also be able to contribute £8k to an S&S Isa as well.

eskbanker

https://forums.moneysavingexpert.com/discussion/6653557/isa-yearly-allowance

As things stand, he's broken the rules but he can rectify this if the cash ISA is a flexible one, by withdrawing from it to bring his total net 2025/26 contributions below £20K.

wmb194

https://forums.moneysavingexpert.com/discussion/6653557/isa-yearly-allowance

So they’ve contributed more than £20k this tax year? That’s a problem. Are either of them flexible ISAs? If so, it’s just a case of withdrawing the contribution above £20k and the situation will be resolved.

pumas

Thanks all.
They are convinced that Martin Lewis says you can put £20k into both.