What’s new in the world of ISAs?
March 2024
What’s new in the world of ISAs?
What’s new in the world of ISAs?
March 2024
ISAs*, or Individual Savings Accounts, have been fantastic tools for saving money for a long time. It's not often we see big changes to how they work, and even when changes do come around, the core principle of being able to save without paying tax on any interest is protected.
Last year, the Government announced in its Autumn Statement a series of changes that could be made to ISAs from 6 April 2024. The age from which you can apply is being increased to 18, along with further changes to increase flexibility for providers to introduce, if and when they can.
Whether you’re thinking about opening an ISA for the first time or you’ve been saving for years, we're here to walk you through what’s new about ISAs at Coventry Building Society.
The minimum age for an adult ISA
From 6 April 2024, you'll need to be at least 18 years old to open a new adult cash ISA. Previously, savers could get started with these products at just 16.
This is the only rule change that all ISA providers must follow. However, if you're 16 or 17 and already have an adult cash ISA open with us, you don’t need to worry as you won't be affected. You can keep saving just like before.
Having more than one cash ISA
Some providers may allow you to open multiple accounts with them in the same tax year. At Coventry Building Society, we're still considering the best way to embrace this new flexibility.
Paying into an ISA you haven't paid into this tax year
This new flexibility means that HMRC no longer require you to make a fresh ISA application where you haven’t paid into an ISA for a full tax year.
However, at Coventry Building Society, if you haven’t used any of your ISA allowance over the last tax year and would like to start saving into your ISA this tax year, you'll still need to contact us for now. This safeguards you from accidentally going over your annual allowance. Rest assured, we’ll get you up and running again.
Partial ISA transfers
Related articles:
ISA Quiz
Test your ISA knowledge
ISAs*, or Individual Savings Accounts, have been fantastic tools for saving money for a long time. It's not often we see big changes to how they work, and even when changes do come around, the core principle of being able to save without paying tax on any interest is protected.
Last year, the Government announced in its Autumn Statement a series of changes that could be made to ISAs from 6 April 2024. The age from which you can apply is being increased to 18, along with further changes to increase flexibility for providers to introduce, if and when they can.
Whether you’re thinking about opening an ISA for the first time or you’ve been saving for years, we're here to walk you through what’s new about ISAs at Coventry Building Society.
The minimum age for an adult ISA
From 6 April 2024, you'll need to be at least 18 years old to open a new adult cash ISA. Previously, savers could get started with these products at just 16.
This is the only rule change that all ISA providers must follow. However, if you're 16 or 17 and already have an adult cash ISA open with us, you don’t need to worry as you won't be affected. You can keep saving just like before.
Having more than one cash ISA
The ISA allowance is staying at £20,000 a year. The Government now says you can put your savings into more than one cash ISA at the same time. This means being able to spread your allowance across multiple providers to best suit your savings goals, as long as you remain within your £20,000 allowance.
Some providers may allow you to open multiple accounts with them in the same tax year. At Coventry Building Society, we're still considering the best way to embrace this new flexibility.
Paying into an ISA you haven't paid into this tax year
This new flexibility means that HMRC no longer require you to make a fresh ISA application where you haven’t paid into an ISA for a full tax year.
However, at Coventry Building Society, if you haven’t used any of your ISA allowance over the last tax year and would like to start saving into your ISA this tax year, you'll still need to contact us for now. This safeguards you from accidentally going over your annual allowance. Rest assured, we’ll get you up and running again.
Partial ISA transfers
Related articles:
ISA Quiz
Level up your ISA IQ and put your knowledge to the test.
