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ISA allowance

Important information - please keep in mind that the value of investments can go down as well as up, so you may get back less than you invest. Tax treatment depends on individual circumstances and all tax rules may change in the future. This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. Withdrawals from a Junior ISA will not be possible until the child reaches 18.

What is the ISA allowance?

The ISA allowance in a nutshell is how much a person can put into their ISA each tax year. The ISA allowance for this year is £20,000. The tax year runs from the 6 April to 5 April the following year. And you have until midnight to invest your money. If you do not use all your ISA allowance in one year, you’re not able to carry this allowance over to the next year so it’s important to make the most of each tax year.

The best way to think of an ISA is as a tax 'wrapper'. Each year, you're entitled to a specific allowance or limit, which is protected by the ISA wrapper. This means you won't be charged tax on the interest or capital gains you earn, offering greater growth potential on your investments, although this is not guaranteed.

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Getting started is easy.

Download our ISA guide to learn more about how investing in an ISA works. It’s a tax-efficient way to put money aside for the long term.
 

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Is the ISA allowance the same for a Junior ISA?

The ISA allowance differs for an ISA and a Junior ISA - the Junior ISA allowance is £9,000 a tax year as opposed to £20,000 a tax year. Below we have broken down the core differences between an ISA and a Junior ISA.

Stocks and Shares ISA

  • For the 2023/24 tax year the ISA allowance is £20,000
  • You can only invest in one Stocks and Shares ISA each tax year
  • Choose from a wide range of funds, shares, exchange-traded funds (ETFs) or investment trusts
  • If you don’t use all of your ISA allowance before the end of the tax year it is lost

Junior ISA

  • For the 2023/24 tax year the Junior ISA allowance is £9,000
  • You can only have one Stocks and Shares Junior ISA at any one time
  • Choose any combination of funds, shares, exchange-traded funds (ETFs) or investment trusts
  • If you don’t use all of your child’s Junior ISA allowance before the end of the tax year it is lost
  • Withdrawals from a Junior ISA will not be possible until the child reaches age 18

More ISA allowance information

Do ISA transfers count towards your ISA allowance?
Can you inherit ISA allowance?
Can you split your ISA allowance?

Let's start your saving journey

Open your ISA today

Invest in our Stocks and Shares ISA and pay no income or capital gains tax on your investments.

Transfer an ISA

Instruct your transfer - just enter details of your current providers, we’ll do the rest and let you know when the transfer is complete.