What is an ISA allowance?

Your ISA allowance is the total amount of money you can save in an ISA in the current tax year. An ISA is an Individual Savings Account which protects your savings in a tax-free wrapper, so you will never pay any tax on the interest you earn. The government decides each tax year how much can be saved in an ISA – this is known as the ISA Allowance or Maximum Annual Subscription Allowance and for tax year 2023/24 (which runs from 6th April 2023 – 5th April 2024) it is £20,000.