Question to the HM Treasury:

To ask His Majesty's Government what steps they are taking to define 'cash-like investments' in relation to stocks and shares Individual Savings Accounts, and how charges on cash holdings in those accounts will be applied.

At the Budget in November 2025, the government announced that from 6 April 2027, the annual Cash ISA limit will be set at £12,000 within the overall ISA limit of £20,000. This is part of our wider strategy aimed at supporting people to get into investing, including Targeted Support, which will be available from April 2026.

Rules will be introduced to avoid circumvention of the lower limit for cash ISAs where an individual is under the age of 65. The ISA industry will be consulted on the draft legislation, which will be made by amendments to the ISA Regulations, and laid before Parliament well ahead of April 2027.