Can I open more than one ISA in a year? (2024)

FAQs

Can I open more than one ISA in a year? ›

How many ISAs can you open in a tax year? Since the start of the 2024/25 tax year, there is no limit on the number of ISAs that you can open with different providers (apart from lifetime ISAs). This means you could have a Cash ISA with us, and another with a different bank or building society.

How many ISAs can you open in a tax year? Since the start of the 2024/25 tax year, there is no limit on the number of ISAs that you can open with different providers (apart from lifetime ISAs). This means you could have a Cash ISA with us, and another with a different bank or building society.

You can now open and pay into multiple cash ISAs in the same tax year. You can now open and/or be subscribed to (pay into) multiple cash ISAs in any tax year – so you could open both a fixed cash ISA and easy-access cash ISA (for example) in the same tax year with different providers.

If you've accidentally paid too much into your ISA (or ISAs if you have multiple), you won't receive any tax relief on the excess payments you've made. You can speak to your ISA provider if you're unsure. Don't worry though, if you do exceed your ISA allowance, you can contact HMRC to let them know.

You can hold multiple Lifetime ISAs, although you can only pay into one each tax year.

As of 6 April 2024, you can now open more than 1 cash ISA each year. the deposit limit is still 20k over how may you have in each tax year.

Putting money into an ISA

Every tax year you can save up to £20,000 in one account or split the allowance across multiple accounts. The tax year runs from 6 April to 5 April. You can only pay into one Lifetime ISA in a tax year. The maximum you can pay in is £4,000.

The top paying fixed rate Isa is 5.05% over a one year term. Longer-term Isas, with terms of five years or more, are paying rates up to 4.26%.

Does transferring an ISA count as opening a new one? Transferring your ISA does not count as opening a new one. As an example, if you were contributing to a cash ISA and transferred it to a new provider in the same tax year, you would still be able to pay into the new ISA.

Yes you can. If you have a number of ISAs it's often easier to manage them if you combine them into one. You hear this referred to as consolidating your ISAs. You can do this by moving your ISAs into one of your existing ISA accounts (as long as your provider accepts ISA transfers) or you can transfer into a new ISA.

What is the maximum amount you can open an ISA with? ›

Can I hold investments from different fund managers within one ISA? Yes, there is no limit as to how many different investments you can hold in your ISA.

How many fixed rate ISAs can I have? You can have multiple fixed rate ISAs, but you can only open one of each type of ISA in any given tax year (6th April to 5th April). So if you opened a fixed rate ISA in July 2023, you won't be able to open another one until 6th April 2024.

What happens if I reach my Lifetime ISA allowance for the tax year? Once you've used your full £4,000 LISA allowance, any subsequent Direct Debit contributions intended for your LISA pot will be redirected to "Unallocated Cash", awaiting your instruction. You'll then be prompted to allocate your cash.

At Spring Budget 2024, the government announced the introduction of the UK ISA . The new £5,000 allowance, in addition to the existing ISA allowance, will provide a new tax-free savings opportunity for people to invest in the UK, while supporting UK companies.

A Cash ISA lets you save up to £20,000 each year, to be used for whatever you like. With a Lifetime ISA, you can only save up to £4,000 each tax year, and can only use the money to buy your first home, or save for retirement.

You can transfer some or all savings from the current tax year's ISA or previous years. There's no limit on the frequency of transfers.

You can take money out of most ISAs whenever you want, without affecting the tax benefits. However, some types of ISAs have specific rules and costs around withdrawing, like the Lifetime ISA. Certain providers may even charge you to make a withdrawal – so always check the terms before you sign up.