Tax Year Beginning is the new Tax Year End

What if there was a way to boost tax-free savings in your ISAs beyond the annual allowances?

Simply filling your allowances at the start of the Tax Year rather than the end could be worth thousands of pounds to those with ISAs, allowing for 12 months of interest in cash ISAs, or stock growth and dividends in a stocks and shares ISA.

The financial planning world tends to fixate on the end of the Tax Year to make sure none of our clients lose their allowances, but of equal importance is making sure we’re maximising growth opportunities for clients.

Of course, it’s not for everyone and for many people in the UK, filling £20,000 of ISA allowance and £60,000 of pension allowance feels far off, but for others, it’s a chance to make sure tax liabilities are reduced and once it’s done, you don’t need to worry about it for another 12 months.

Here are some of the allowances for 2024/25 to be aware of:

  • £20,000 individual savings allowance
  • £9,000 junior ISA
  • £60,000 annual pensions allowance
  • £10,000 money purchase annual allowance (for those who have already drawn on their pension)
  • £3,000 Capital Gains Tax allowance (down from £6,000 in 2023/24)
  • £500 dividend allowance
For your full list of personal allowances and taxation rates, see Wren Sterling’s Budget Report Download

The value of your investments can go down as well as up, so you could get back less than you invested. The Financial Conduct Authority does not regulate tax planning.