Can I have ISAs with two different providers in the same tax year?

Full answer

A major change to ISA rules came into effect from **6 April 2024**: the restriction limiting you to opening only **one ISA of each type per tax year** was abolished. **What changed in April 2024:** - **Before April 2024:** You could subscribe to only one Cash ISA, one Stocks & Shares ISA, one Innovative Finance ISA, and one Lifetime ISA per tax year - **From April 2024:** You can open and contribute to **multiple Cash ISAs or multiple Stocks & Shares ISAs** (etc.) across different providers in the same tax year **What stayed the same:** - **Annual ISA allowance: £20,000** — unchanged; your total contributions across all ISAs cannot exceed £20,000 per tax year - **No tax on ISA growth or income** — still applies - **LISA (Lifetime ISA):** Still limited to **one LISA per person** (you can only open a LISA if you're under 40) - **Junior ISA:** Still limited to one Cash JISA and one Stocks & Shares JISA per child **Why this matters:** - You can split cash savings across multiple banks offering different rates (e.g. easy-access ISA at Bank A + fixed-rate ISA at Bank B) - You can contribute to two different investment platforms in the same year - No need to consolidate all ISAs before switching providers **Flexible ISAs:** Some ISAs are "flexible" — allowing you to withdraw and replace funds in the same tax year without it counting as a new subscription. Check with your provider whether your ISA is flexible. **ISA transfers:** You can still transfer existing ISA balances between providers at any time without losing ISA status. The transfer does not count toward the £20,000 annual allowance.

Try the calculator