Overview

• Reports say the Treasury is considering capping the cash portion at about £10,000 while keeping the overall £20,000 ISA allowance, with officials stressing no decision has been made.
• Treasury teams have recently met financial services firms to discuss cash ISA limits and are also debating a revival of a ‘Brit ISA’ offering a UK-equity incentive.
• Building societies warn that reduced cash ISA inflows could raise mortgage funding costs and threaten housing targets, urging ministers not to penalise low‑risk savers.
• Money expert Martin Lewis and other consumer voices argue a cut would upset savers without materially boosting share ownership, with some analysis suggesting it could lead to more taxable interest outside ISAs.
• Industry figures urging broader reform propose merging cash and investment ISAs or scrapping stamp duty on UK stocks within ISAs, while ministers point to stronger long‑run returns from equities.