Can I make withdrawals from a cash ISA?

Yes, if you have an easy-access cash ISA, like the ones featured in this guide, you can withdraw money at any time without penalties. Most of the providers listed also offer flexible ISAs, meaning you can pay money back in during the same tax year without it affecting your £20,000 allowance. Fixed-rate cash ISAs, typically offered by banks, lock your money away for a set period in exchange for a guaranteed rate. These are not included in this guide.

What is the difference between a cash ISA and a savings account?

The difference is that interest earned in a cash ISA is tax-free . You will not have to worry about income tax. With an ordinary savings account, you can earn up to £1,000 a year in interest before 20% income tax is due if you are a basic-rate taxpayer. This is known as the Personal Savings Allowance. Higher-rate taxpayers earning more than £50,270 a year can earn up to £500 in interest before income tax of 40% is due on interest above this. Additional rate taxpayers don’t get any Personal Savings Allowance so they will be paying 45% tax on interest earned from savings not held in an ISA. ISAs should therefore be prioritised if you have a high level of cash savings and could go over the Personal Savings Allowance. You can pay up to £20,000 into ISAs each tax year. escalator_warningInterested in learning more about ISAs? Get the full rundown on ISAs by reading my complete guide to ISAs in the UK . Learn how to open a stocks and shares ISA or figure out the best provider for you when ready to open an account.

How many cash ISAs can I have?

You can have as many as you would like. It used to be the case that you could only pay into one cash ISA each tax year, but new rules as of April 2024 mean you can now pay into multiple ISAs of the same type each year.

Can I have two different cash ISAs with different providers?

Yes, you can hold and pay into cash ISAs with different providers. The only limitation is that you can not go over the £20,000 annual ISA allowance overall.

Can you transfer stocks and shares to a cash ISA?

Yes, you can transfer a stocks and shares ISA to a cash ISA if you want to reduce your exposure to the stock market. To keep the money in the ISA wrapper, request a transfer rather than withdrawing money from your account and then paying it into a cash ISA. To do so, go to the website of the cash ISA provider you want and fill in a transfer form. You can transfer all or only part of your savings. You can also transfer from stocks and shares ISA to a cash ISA with the same provider if they offer both – such as Hargreaves Lansdown. Your investments will have to be sold before the transfer, so the process can take a few weeks.

How much can I put into a cash ISA?

There are no overall limits on how much can be held in cash ISAs. However, there is a cap of £20,000 that can be paid into ISAs each year.

Are cash ISAs tax-free?

Yes, cash ISAs are completely tax-free which is their main appeal. Do be aware that there is always the chance that tax rules may change in the future.

When is the best time to open a cash ISA?

Any time that works for you! Ideally make sure you have maxed out your ISA savings as much as you can before the end of the tax year (5 April) as any unused allowance can’t be carried over to the next tax year. Cash ISAs are typically for those who may need access to savings within the next few years and who don’t want to risk stock market uncertainty. If you’re saving for the long-term – five years plus – a stocks and shares ISA may be more suitable as there is typically a better chance of growth outpacing inflation.

Best Cash ISA Accounts & Rates for 2025

Written by Elizabeth Anderson
Fact-checked by Steven Hatzakis
Edited by Jeff Anberg

October 08, 2025

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We've been reviewing financial products and services and writing about U.K. markets since 2016. Blain Reinkensmeyer, Elizabeth Anderson and Steven Hatzakis have each placed thousands of trades, including shares, options, futures, cryptos, and forex. Find out more about us and how we test.

A cash ISA lets you grow your savings tax-free, making it a popular choice in the U.K. With around 7 million cash ISAs paid into each year, it remains a go-to for those looking to protect earned interest from tax while avoiding stock market volatility.

This guide focuses on easy-access, variable-rate cash ISAs offered by investment platforms and stock brokers and not traditional fixed-rate ISAs from high street banks. These flexible cash ISAs are ideal if you want competitive rates with the ability to withdraw or move your money at any time, often with the bonus of being able to invest through the same app or platform.

If you're saving for a short-term goal like a house deposit or just want a better rate on your cash, these broker-based ISAs could be a great fit. I’ve compared them based on interest rate, ISA flexibility, minimum deposit, and ease of use through mobile apps.

Best Cash ISA Accounts in the UK

Here are my picks for the best cash ISA accounts in the U.K. for 2025, based on my expert analysis and extensive testing. This guide focuses exclusively on easy-access cash ISAs offered by investment platforms and stock brokers, all of which pay variable interest rates. These ISAs allow you to withdraw and replace money without penalty, and most are flexible, meaning withdrawals won’t reduce your £20,000 annual ISA allowance if repaid within the same tax year.

We do not include fixed-rate cash ISAs in this guide — the kind offered by high street banks where your money is locked away for one, two, or five years in exchange for a guaranteed rate. While those may offer higher interest, they lack the accessibility and multi-product integration these flexible ISAs provide.

Every provider featured here is authorised in the U.K. and covered by the Financial Services Compensation Scheme (FSCS), which protects eligible deposits up to £85,000 per institution. That means your savings are safe even if the provider were to go out of business.

Interest rates are regularly updated, and providers are ranked by rate, flexibility, ease of access, and overall user experience on their platform or app. Always double-check with the provider first to confirm current rates.