What is an Isa and how might the rules change?
Published: 7/10/2025

Chancellor Rachel Reeves is expected to announce changes to tax-free Individual Savings Accounts (Isas) to encourage more investment in stocks and shares Isas. Isas are savings or investment products with tax benefits, and there is an annual limit of £20,000. Cash Isas are different from stocks and shares Isas, with the former acting like regular savings accounts while the latter involves investments in shares, unit trusts, or bonds. The government may cut the cash Isa limit to incentivize investing in stocks and shares to benefit British companies and support economic growth.