Introduced a £12,000 cash ISA limit for under-65s and a tax charge on interest from cash held in investment ISAs.

This instrument amends the Individual Savings Account Regulations 1998 to introduce a specific £12,000 annual subscription limit for cash ISAs applicable to individuals aged 64 or under.

It removes tax relief on interest or alternative finance returns generated by cash deposits held within stocks and shares or innovative finance ISA components, requiring account managers to pay a flat-rate charge to HMRC at the savings basic rate.

Additionally, the regulations update the definition of money market funds and prohibit stocks and shares ISAs from consisting entirely of such funds, while revising transfer rules to restrict under-65s from moving funds into cash accounts in certain circumstances.

The 2025 regulations amended the 1998 Individual Savings Account Regulations to clarify definitions, update subscription rules, and limit withdrawals.

These regulations amend the Individual Savings Account Regulations 1998, clarifying definitions, updating subscription rules, and limiting withdrawals.

Key changes include defining "long-term asset fund," requiring national insurance information for non-junior ISA subscriptions, restricting replacement subscriptions to the original account, preventing withdrawals that reduce the current year's subscription below zero, and specifying qualifying investments for stocks and shares and innovative finance components until the end of 2026.

The changes mostly take effect from July 15th, 2025, except for one regulation commencing April 6th, 2027.