Flexible ISA rules

WishfulTouranDriver

Hi,

This has been asked and answered before. I’m asking now as it’s possible the rules have changed since some of what I’ve read was originally posted. Also, there is some conflicting information on different websites.

Query:

I have a balance in my trading 212 flexible cash isa. Let’s say for simplicity the balance is £20k and I put it in this tax year.
Now I want to use this year’s isa allowance for a stocks and shares isa with a different provider. Using an isa transfer is not an option (for reasons I won’t go into.)

As long as I don’t exceed the £20k maximum, could I withdraw the flexible isa balance and invest it another isa?
Some sources suggest this is allowed. Some suggest it is not allowed or are somewhat ambiguous (even HMRC.)

What is the letter of the law?

Many thanks for any responses.

eskbanker

Since July 2025 (also before April 2024), it's been permissible to withdraw current year subscriptions from a flexible ISA and replace them in a different ISA without counting as new money.

As you say, it's been asked and answered before, e.g. this thread from earlier in the week, which includes the relevant authoritative citations:

https://forums.moneysavingexpert.com/discussion/6654560/flexible-isa-039-s-redundant

WishfulTouranDriver

Thanks very much.

So as long as I don’t don’t go over the 20k of this year’s money with both isas combined at any point… I’m fine?
It almost sounds too good to be true; which made me worry.

Thanks again for answering.