Savers under 65 have less than a year to make full use of the cash ISA as it works today. From 6 April 2027, the amount that can go into a cash ISA each year falls from £20,000 to £12,000 for anyone below that age. The overall ISA allowance stays at £20,000, but £8,000 of it will have to go somewhere other than cash.
The change was announced in the Autumn Budget in November 2025. The government has since confirmed the finer details, including a new charge that closes off the most obvious way around the cut.
