Key changes to savings rules are coming in soon
UK government cuts ISA allowance to £12,000 from April 2027, with remaining £8,000 restricted to stocks and shares, while income tax on interest rises 2 percentage points across all bands. Tighter savings incentives may reduce household investment capacity and discretionary spending on enterprise tech solutions.
Rules will be introduced to prevent people subscribing up to £20,000 cash in a non-cash Isa and leaving it there long-term, earning tax-free interest
HM Revenue and Customs said several rules will be introduced to ensure the policy achieves its objective.