You can invest up to £20,000 in the current 2020/21 tax year.
• You can only contribute to one investment ISA in any tax year, but you can split the £20,000 allowance between different kinds of ISA as you see fit.
• You can choose to make regular monthly payments, or invest a lump sum.
• You are not tied to the same ISA manager year-in-year-out, you can transfer to a different platform, but should follow the transfer rules (see above) to retain the tax-free advantage of investing via an ISA. Do not simply cash in your existing ISA as it will lose its tax-free status, and if the cash mounts up to more than your yearly allowance, it could prove costly.
• Your ISA savings from previous years can be split into different accounts, but if you want to move this year’s allowance, you must transfer the full amount.
• You can switch from a stocks and shares ISA to a cash ISA, and vice versa should you wish.
• ISA firms must allow transfers out, but there are no rules to force them to accept transfers in, so make sure you check before you start the process.
• You cannot carry the allowance forward to the next year, so if you don’t use it, you lose it!