Answers · UK 2025/26

What is an Additional Permitted Subscription (APS) ISA allowance?

An Additional Permitted Subscription (APS) lets a surviving spouse or civil partner inherit their late partner's ISA tax wrapper on top of their own £20,000 annual ISA allowance. The APS equals the value of the deceased's ISA at death (or at closure, if higher), and does not use up the survivor's normal allowance.

Last updated: 1 July 2026Last reviewed: 1 July 2026How we verify

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When an ISA holder dies, their spouse or civil partner can claim an Additional Permitted Subscription (APS), which is a one-off extra ISA allowance separate from their own annual £20,000 limit for 2026/27. **How the APS amount is set** The APS is equal to either the value of the deceased's ISA at the date of death, or the value when the ISA is eventually closed (whichever figure the surviving spouse's chosen ISA provider uses -- most use the higher of the two, reflecting any growth during administration of the estate). This applies regardless of who actually inherits the underlying ISA assets under the will or intestacy rules -- the survivor gets the APS allowance even if the money itself passes to someone else. **Worked example** David dies leaving an ISA worth £60,000. His wife Sarah has her own ISA and has already used £15,000 of her own £20,000 allowance this tax year. Because the APS is separate, Sarah can still subscribe up to £60,000 (the value of David's ISA) into her own ISA, IN ADDITION to the remaining £5,000 of her normal allowance -- a total of £65,000 available to her this year. **Cash or in-specie transfer** Some providers allow the actual ISA investments to be transferred in-specie (as the same assets) to the survivor's ISA rather than being sold and repurchased, avoiding being out of the market and avoiding dealing costs, provided the new provider supports in-specie APS transfers. **Time limits** The APS must generally be used within three years of the date of death, or 180 days after the estate administration completes if that is later. It is claimed with the ISA provider holding the survivor's existing ISA, or a new provider if they prefer. **Why it matters** Without the APS rule, a surviving spouse would lose the tax-free wrapper on inherited ISA savings and could only reinvest up to their normal £20,000 annual limit, pushing any excess into a taxable account. The APS preserves the tax-free status of the full amount.