Just one in five have made full use of the threshold this year
Just one in five cash ISA savers have used their full £20,000 ISA allowance this year, according to new research from Tesco Bank, and on average, cash ISA holders have used just over £8,000 (£8,129) of their ISA allowance this tax year, leaving more than £11,000 (£11,871) to use.
A third have managed to put more than £10,000 into their cash ISA accounts so far this financial year. Overall, those with cash ISAs are showing positive signs of active saving. 43% of cash ISA holders regularly save into their ISA, whether on a weekly or monthly basis. 50% say they contribute to their cash ISA from other savings accounts, therefore taking advantage of the tax efficiencies it offers.
However, one in ten (11%) cash ISA holders have not contributed anything to their ISA this financial year. Savers will also be able to save up to £20,000 in their cash ISAs in the next tax year (2026/27), before the limit reduces to £12,000 for those under 65 in April 2027.
Chris Henderson, Save and Pay Director at Tesco Bank, commented: “Cash ISAs are a great way to save. They allow you to pocket your interest entirely tax free, which could help you achieve your goals sooner. Whether you’re saving for a once‑in‑a‑lifetime holiday, home renovations, or for one of life’s milestones, ISAs are worth considering. It’s encouraging to see so many have already maxed out their allowance, and with several weeks left to go until the deadline, many others are continuing to make use of their ISAs.”
