Overview
- AJ Bell says HMRC’s lagging data means ISA holdings have likely passed £1 trillion, exceeding the ~£900bn last officially reported to April 2023.
- From April 2027 the cash ISA allowance for under‑65s will fall to £12,000, while the £20,000 Stocks & Shares limit remains in place.
- About 3 million savers hold more than £20,000 only in Cash ISAs, representing at least £101bn, even as most ISA wealth is invested (~£511bn vs ~£360bn in cash).
- More than 21 million adults—roughly 40% of the population—hold ISAs, with over‑65s averaging around £64,000 in their pots.
- Experts flag behavioural and admin pitfalls, noting lower Stocks & Shares use by women (29% vs 41% for men) and recurring errors on allowances, transfers and overpayments.