{"id":11863,"date":"2026-03-05T11:30:10","date_gmt":"2026-03-05T11:30:10","guid":{"rendered":"https:\/\/www.wealthtime.com\/advisers\/?post_type=blog&p=11863"},"modified":"2026-03-17T12:44:51","modified_gmt":"2026-03-17T12:44:51","slug":"the-isa-ing-on-the-cake-have-allowances-been-fully-used","status":"publish","type":"blog","link":"https:\/\/www.wealthtime.com\/advisers\/blog\/the-isa-ing-on-the-cake-have-allowances-been-fully-used\/","title":{"rendered":"The ISA-ing on the cake: have allowances been fully used?"},"content":{"rendered":"\n

Tony Wickenden, Technical Connection<\/p>\n\n\n\n

Among the many possible actions for individuals to consider as the end of the tax year approaches is to check whether the full ISA (and, where relevant, JISA) allowance has been fully utilised.<\/strong><\/p>\n\n\n\n

This will especially be the case, given that dividends and savings income above the relevant allowances are fully taxed, as are realised capital gains that exceed the \u00a33,000 annual exemption. And, following the 2025 Budget, 2% will be added to the dividend tax rates for basic and higher rate taxpayers from 6 April 2026 (taking rates to 10.75% and 35.75% respectively and remaining at 39.35% for additional rate taxpayers) and 2% added to the rates of tax on savings income for all taxpayers from 6 April 2027. Despite the well-known tax efficiencies of ISAs there will be many for whom there will still be scope to invest. <\/p>\n\n\n\n

But not everyone who can, will.<\/p>\n\n\n\n

So why not? Well, most obviously they may not have the funds to invest. They might just lack a reminder. Another reason may be concern over timing for what may be a large one-time investment.<\/p>\n\n\n\n

If that\u2019s the case, then what better time to suggest that, for the next tax year, the investor commits to an appropriate regular (e.g. monthly) investment into an ISA? The \u201csingle investment\u201d timing anxiety will be removed and the benefit of tax efficiency and pound cost averaging secured.<\/p>\n\n\n\n

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\"Tony<\/figure>\n<\/figure>\n<\/div>\n\n\n\n
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What better time to suggest that, for the next tax year, the investor commits to an appropriate regular (e.g. monthly) investment into an ISA? The ‘single investment’ timing anxiety will be removed and the benefit of tax efficiency and pound cost averaging secured.<\/p>Tony Wickenden, Technical Connection<\/cite><\/blockquote><\/figure>\n<\/div>\n<\/div>\n\n\n\n

Read the next article<\/strong><\/p>\n\n\n\n

For more tax year end planning top tips, read the next bitesize article. <\/p>\n\n\n\n\n \n Read next <\/a>\n\n\n\n

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Browse all bitesize articles<\/strong><\/p>\n\n\n\n

For more expert insight and analysis, visit our tax year end library.<\/p>\n\n\n\n\n \n Visit the library <\/a>\n\n\n\n

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Stay connected<\/strong><\/p>\n\n\n\n