Surge in Cash ISA Deposits
Newsletter issue – February 2026
Savers rushed to deposit money into cash ISAs in October, driven by speculation that the annual allowance might be cut. £4.2 bn was added in October - a 75% increase from September's £2.4 bn.
Of course, the allowance cut speculation did become reality. In the Budget, Chancellor Rachel Reeves confirmed the allowance will drop from £20,000 to £12,000 from April 2027, but only for people under 65. Savers aged 65 and over will continue to have access to the full £20,000 tax-free allowance.
HMRC wants to prevent savers from parking cash in a stocks & shares ISA purely to avoid this lower limit, so they are considering introducing a 20% levy on interest earned on cash held in such ISAs.
The word accounting comes from the word accountability. If you are going to be rich, you need to be accountable for your money.
Surge in Cash ISA Deposits
