SJP ISA allowance
Putting money into an ISA is a really tax-efficient and flexible way to save for your future – and the bonus is that you don’t pay any Income Tax or Capital Gains Tax on either any growth within the fund, or the money you may draw down as income.
These tax benefits make ISAs a popular way to save and plan your finances, but there’s one thing to be mindful of – the ISA allowance.
ISA allowance 2026/27
The Government puts a cap on how much you can put into your ISA or ISAs in any tax year (from 6 April – 5 April). The ISA allowance for 2026/27 is set at £20,000.
The ISA limit for Junior ISAs is £9,000 for 2026/27.
Getting the most out of your ISA allowance
If you hold more than one type of ISA, such as a Cash ISA and a Stocks and Shares ISA, you can spread your ISA allowance between them. Or you could put the full £20,000 into one.
From 6 April 2024 it is possible to pay into multiple ISAs (except LISAs) of the same type in the same tax year.
If you have a Stocks and Shares ISA, it can make sense to drip feed payments into your account over the year, rather than making one big payment just before tax year-end (5 April). That way, you ‘flatten out’ the natural rises and falls in the stock market and share values, rather than making a big payment in on a day when the market happens to be falling.
If you’re a married couple, you can put up to £40,000 in ISAs between you. Tax-efficiently.
Please note that you can choose how much or little of this £20,000 allowance you want to invest each year but do bear in mind, you can’t ‘carry it over’ to the next year.
From 6 April 2027, the annual cash ISA allowance for those under 65 will be cut to £12,000, down from the current £20,000, to encourage investment in UK equities.
Junior ISA (JISA) allowance
If you, or your children, are under 18, and don’t have a Child Trust Fund, you can open a Junior ISA (JISA). The Junior ISA Allowance in 2025/26 is £9,000, and parents, grandparents, family members and friends can pay into these types of ISAs, although they can only be opened by a parent or legal guardian.
ISA allowances – your limits
The value of an investment with St. James’s Place will be directly linked to the performance of the funds selected and may fall as well as rise. You may get back less than you invested. An investment in a Stocks & Shares ISA will not provide the security of capital associated with a Cash ISA.
The favourable tax treatment of ISAs may not be maintained in the future and is subject to changes in legislation.
Please note that St. James's Place does not offer Cash ISAs.