Insights for Savers

Changes to ISA rules in 2024: what does it mean for me?

On the 25th birthday of the ISA, the Government has introduced several new changes that will be introduced for the 2024/25 tax year.

What is an ISA? Click here to read more.

From 6th April, ISAs are getting a spring clean, below are four ways ISAs will be changing and what it means for you as a saver going forward.


More flexibility to pay into ISAs with different providers

Currently, savers can only open one type of ISA per provider, but these rules are set to change. The new rules mean that soon you’ll be able to open ISAs with different providers. This change could offer Cash ISA savers the chance to go after more competitive rates more easily, or pick and mix different accounts, such as opening an easy access account, notice account or a fixed rate account, to name a few.

It also helps protect those who accidentally pay into more than one of the same type of ISA in a single tax year. This is easily done if paying into an ISA by direct debit, and the change removes the risk of breaking the rules.

Unfortunately at the moment, if you invest part of your 2024/2025 year’s ISA allowance in a Cash ISA with another provider, you won’t be able to invest your remaining allowance in an Aldermore Cash ISA. However, it’s an option that we’re looking to introduce.



Dad on laptop with son on his lap

Partial transfers between providers for current year subscriptions

The rules currently force an all or nothing approach to current year ISA transfers – you have to transfer your entire ISA of that type from the current tax year, or nothing at all. The new change means that you’ll be in charge of how much you want to transfer, no matter when you made the subscription.

So, if you have £10,000 sitting in an ISA and you wish to only transfer £5,000 to a different provider, you can now do so from April 2024 onwards.


No need to reapply for existing ISAs each year

Those with ISAs are currently required to, in essence, reapply for ISAs they already hold when there has been a gap of one tax year where no funds have been paid in. From 6th April, this rule is being removed, and should reduce the potential for confusion and cut down on unnecessary red tape.


New 18+ age limit for all adult ISAs

This rule only directly impacts Cash ISAs, where the minimum age for opening an account is currently 16 years old. From the 2024/25 tax year, the 18+ rule will mirror other adult ISAs. 16 and 17-year olds will continue to be able to open and save into a Junior ISA.


Easy Access ISA from Aldermore

To find out more about our range of ISAs including our new Easy Access ISA, click here.

Cash ISAs