The ISA rules have changed, so how does it affect my ISA?

• The annual ISA investment allowance has been raised to £7,200. Up to £3,600 of that allowance can be saved in cash with one provider. The remainder of the £7,200 can be invested in stocks & shares with either the same or a different provider.
  
  
• ISA savers can now invest in two separate ISAs each tax year; a cash ISA & a stocks & shares ISA. Mini & maxi ISAs now no longer exist.
  
  
• Mini cash ISAs, TESSA-only ISAs (TOISAs) & the cash component of a maxi ISA have become cash ISAs.
  
  
• Mini stocks & shares ISAs & the stocks & shares components of a maxi ISA have become stocks & shares ISAs.
  
  
• All Personal Equity Plans (PEPs) have become stocks & shares ISAs.
  
  
• ISA savers are now able to transfer money saved in their cash ISA to their stocks & shares ISA. However you cannot transfer from your stocks & shares ISA into your Cash ISA.

‘So what do I have to do now?’

Well now if you want to invest more, you can. You can now save up to £3,600 into a cash ISA each year instead of £3,000. Great News all round!

For further information please visit the HM Revenue & Customs website at www.hmrc.gov.uk