How many ISAs can I have? UK rules for 2026/27
How many ISAs can you have in the UK? Discover the rules for multiple cash and stocks and shares ISAs and the £20,000 allowance.
You can have more than one ISA in the UK, including multiple cash ISAs and stocks and shares ISAs. However, there are limits on how much you can pay in each tax year.
Consider opening more than one ISA to diversify your savings and match your financial goals.
You can have as many ISAs as you like as long as you don't exceed your ISA allowance in any given tax year. This is £20,000 for 2026/27. However, you can only pay into one Lifetime ISA each tax year.
There are five different types of ISA, giving you options to find the best savings rates or investment opportunities for your circumstances.
Whether an ISA transfer is allowed or not depends on the accounts and the provider.
A financial adviser can provide expert advice on navigating the complexities of ISAs and maximising your tax-free savings.
How many ISAs can I have?
You can have as many ISAs as you like as long as you don't exceed your ISA allowance in any given tax year. For 2026/27, the annual adult ISA allowance is £20,000.
From April 2024, you can open multiple ISAs of the same type, , including cash ISAs and stocks and shares ISAs, and pay into them in the same tax year. However, you can only pay into one Lifetime ISA each tax year.
Having more than one type of ISA can help you achieve different financial goals.
For example, a lifetime ISA could be a good option if you're thinking about buying your first home, whilst a cash ISA would help you build up your savings.
How do ISAs work in the UK?
An individual savings account (ISA) is a tax-efficient wrapper for your savings.
You can use your ISA each year to protect your money from income tax, capital gains tax, and dividend tax.
The limit is currently £20,000. You can allocate your entire allowance to one type of ISA or spread it across different types, subject to the rules for each ISA.
Previously, you could only open and contribute to one of each type of ISA per tax year, staying within your annual allowance.
However, as of April 2024, you can open and contribute to multiple ISAs of the same type without it affecting your overall allowance, , although you can only pay into one Lifetime ISA each tax year.
It’s important to remember that if you don’t use your full ISA allowance in a tax year, you can’t carry it over to the next one. So, it’s a case of ‘use it or lose it’.
Also, you can switch ISA providers, although transfer options depend on the ISA type and provider. To preserve the ISA's tax-free status, you should use the official ISA transfer process.
You can’t put the money into another form of savings account before paying it into a new ISA and expect it to count as an ISA transfer
You are entitled to tax-free savings, and you don’t have to declare them on your self-assessment tax return.
Both ISAs and savings accounts offer valuable ways to manage and grow your money, each with distinct benefits and limitations.
ISAs provide tax-free advantages and are suitable for larger savings, while savings accounts offer flexibility and accessibility. However, some cash ISAs also allow flexible withdrawals, so it's worth comparing individual account terms.
Learn more: ISAs vs savings accounts
What are the different types of ISA accounts?
There are five different types of ISA, giving you options to find the best savings rates or investment opportunities.
Here’s a brief description of what they are and who they’re for.
Cash ISA
If you seek total simplicity in your savings strategy, this could be the ISA for you.
It’s very straightforward. It’s essentially a cash savings account with that big added bonus of not having to pay tax on any interest you earn.
You can currently pay in up to £20,000 a year.
Stocks and shares ISA
This type will suit you if you are comfortable with slightly more risk than you get with a cash ISA, but still seek simplicity.
You can often set it up online, and it gives you access to a range of investments – depending on the exact product and provider.
The key point here, however, is that you are exposed to the ups and downs of the financial markets, so it’s possible that you could end up with less money than you started with.
Lifetime ISA
Lifetime ISAs were introduced in April 2017 and designed to help young people save for their first home or retirement. This can be a cash or stocks and shares ISA.
To open one, you need to be aged between 18 and 39 and can invest up to £4,000 of your yearly allowance in the ISA each year until you turn 50.
The government will give you a bonus of 25% of your contribution, up to a maximum of £1,000 a year, and unless you use the funds to buy your first home, the earliest you can access the money is at age 60, without a withdrawal charge, unless you are terminally ill.
From 29 October 2026, the charge for using Lifetime ISA money to buy a first home above the £450,000 price cap will fall from 25% to 20%.
As long as the provider you use is covered by the Financial Services Compensation Scheme (FSCS), up to £120,000 in a cash LISA is protected, per eligible person, per authorised bank or building society.
If you have more than £120,000 with a provider, it’s worth saving the excess with another bank or building society to ensure your funds are protected, provided it operates under a different banking licence.
If you are considering a stocks and shares LISA, your funds will be protected if your ISA provider goes under, but not if your underlying investment goes bust, so this is worth considering.
Investment protection is subject to separate FSCS eligibility rules and limits.
Learn more: what is a lifetime ISA and how does it work?
Innovative finance ISAs
The innovative finance ISA allows you to invest in peer-to-peer lending.
This means you’re lending money directly to borrowers in return for interest.
Your whole allowance can be invested, but because of the loan element of this ISA, you might not be able to access your funds instantly. It’s also higher risk than other ISAs.
One important detail to bear in mind – this ISA is not protected by the FSCS, against losses from peer-to-peer loans, so you could lose your money if borrowers default or a lending platform fails.
Since April 2024, investors can also include long-term asset funds and open-ended property funds with extended notice periods in an innovative finance ISA.
Junior ISA
Designed to give your kids’ savings a head start, you can put up to £9,000 a year into a cash or stocks and shares ISA.
The account must be opened by a parent or guardian, with parental responsibility, for children under 16. Children aged 16 or 17 can also open their own Junior ISA. Once it is open anyone can contribute.
The money is held in the name of the child, so it will not use up any of your ISA allowance - and can be withdrawn once the child is 18.
At this point, the Junior ISA automatically becomes an adult ISA.
Can I transfer my money from one ISA to another?
Whether an ISA transfer is allowed or not depends on the accounts and the provider.
If you withdraw money and then deposit it, rather than using the official ISA transfer process, the payment into the new ISA will normally count towards your annual allowance. Flexible ISA rules may allow you to replace withdrawn money without using more allowance, subject to the account's terms.
Get expert financial advice
ISAs offer a flexible and tax-efficient way to manage and grow your savings. With the ability to have multiple ISAs, you can better tailor your savings strategy to meet your financial goals.
Whether you're building a nest egg, investing in the stock market, or saving for your child's future, understanding the different types of ISAs and how they work can help you make the most of your annual allowance.
Unbiased can match you with a financial adviser who can provide expert advice on navigating the complexities of ISAs and maximising your tax-free savings.
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