Individual Savings Accounts (ISAs)

Individual Savings Accounts or ISAs were first introduced from 6th April 1999 and replaced personal equity plans (PEPs) and tax-exempt special savings accounts (TESSAs).  

From 2014, the New ISA, or ‘NISA’ was introduced to increase the maximum contributions, and offer clients the choice of how much to invest in the cash and equity based ISA’s.

Investment limits*

• The annual subscription limit increased to £20,000
• The full amount may be invested in a cash account.
• Investments may be transferred from a stocks and shares account to a cash account (and vice versa)
• A wider range of investments may be held in a NISA than in an ISA

Junior ISAs

Junior ISAs offer parents a tax-free way to save for their child's future.

The features of the Junior ISA are:

• People are able to put money into a cash account or 'stocks and shares' account
• There is a total annual limit of £9,000 for all payments into these accounts (2024/2025)
• Accounts will become full NISAs when the child is 18
• The accounts will belong to the child and they are not able to get the money out until they are 18
• Any money the accounts make will be tax free
• A range of banks, building societies, credit unions, friendly societies and stock brokers will offer Junior ISA accounts

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