skip to main content
Mar 2016

Lifetime ISAs Announced

Lifetime ISAs Announced

In today's budget the chancellor announced a brand new type of ISA designed to help young people save for both the deposit on a first-time home and their retirement simultaneously. 

Lifetime ISAs Announced

In today's budget the chancellor announced a brand new type of ISA designed to help young people save for both the deposit on a first-time home and their retirement simultaneously.

Available from April 2017, the 'Lifetime ISA' will allow savers aged between 18 and 40 years old save for both property and retirement within the same product, in addition to earning tax-free interest on their saving the government will contribute a 25% bonus to money saved within the ISA.

Savers will be limited to depositing a maximum of £4,000 a year within the new Lifetime ISA scheme meaning those who contribute the maximum each year could gain an annual bonus of £1,000 from government contributions. 


Savers will be able to make full or partial withdrawal of their savings, along with any interest and government contributions to either purchase a first time property (to a maximum value of £450,000 which must be located within the UK) or from their 60th birthday. If a saver decides to use the money for the deposit on their first property then any left over, including the bonus, can still be used for their retirement and they can continue to save. 

For retirement full or partial withdrawals can be made from the age of 60. The money can be used for any purpose and will be paid free of tax, funds are permitted to remain invested and any interest and investment growth will be tax-free. 

The government has also  proposed that savers can make withdrawals at any time for other purposes, but without bonus or interest and subject to a 5% charge. 

How much could you save? 

Theoretically someone who opened an account at 18 and saved the maximum amount each year until they turned 50 could potentially earn £32,000 worth of bonuses and will end up with £160,000 in their account.

Any contributions to a Lifetime ISA will sit within the overall £20,000 ISA contribution limit however savers with a Lifetime ISA can still open Stocks & Shares and Cash ISAs. 

Find out more about Lifetime ISAs by clicking here.

High Income ISAs

High income ISA ideas:

ISAs Products

Cash ISAs

Fixed Rate & Instant Access ISAs:

Cash ISAs: 

Stocks & Shares ISAs

Types of Stocks and Shares ISA include: 

Stocks and Shares ISAs

Latest News

A New “Care ISA” To Fund Care Home Costs?

21st August 2018

For anyone around retirement age, paying for our care costs when we get older is a worry that probably ranks second only after a fear of developing dementia. Will a new type of ISA be the solution?

Newsletter Signup

Sign up to our Newsletter to get exclusive news and offers direct to your inbox.

About us is a trading style of Fair Investment Company.

We've been comparing and recommending ISAs for many years so you can trust you're in good hands.

About us

4.89 Average

36 Reviews


I found the way the different options are presented very clear - much more useful than some other comparison sites. I sent it to my daughter as well.


Very informative, find myself a good ISA account with best return in terms of interest.


Easy to navigate, all required information was to hand. Professional looking site!

Jessica Esa has a really attractive and simplistic design. I've found it easier to use than other similar comparison sites. The products are simply described, it's informative and the pros and cons are really clear. Great website.


Easy to use website and up to date. Saved the link on my tablet.

Rob Holden

The website was very useful and informative.

Andrew Johnson

ISA can be confusing at first and this site includes a useful and helpful introduction into the world of ISAs


Excellent website - clear and helpful information about different products - and a trustworthy partner.


Quick and professional service provided


Very insightful and easy to navigate.. would recommend to anyone interested

Helen Belcher

Clear concise information that was easy to understand!


Easy to use website and up to date. Saved the link on my tablet.


simple, informative and clear - found what I was looking for straight away. Thank you.


Really simple to use and all the information was clear with lots of products available. The interest calculator was really handy too. Have bookmarked and will definitely use again.


Very helpful site for my investment isa

Hannah Gordon

This was a really user-friendly site, and was very helpful when it came to comparing accounts and choosing my 2016 ISA.


Easy to use website and up to date. Saved the link on my tablet.


If you wish to invest in an ISA this site has it all. A super comprehensive range of simply explained products from all the major companies.

Cristina Iacob

Very knowledgeble company with an extensive range of services, a great website with loads of useful information.

Jessica Morley

Really informative and easy to use site. Information is laid out very clearly and comparisons have all the plus & minuses I'm interested in, so makes me feel like I am making an informed decision. There was also a lot of additional information which would be incredibly helpful to someone completely new to ISAs who wanted to read up on the basics.

Sam H

excellent website, helped me to understand how i can get started with ISA's and helped me to narrow down great deals!