ISA at Bank vs ISA at Investment Platform


I’ve got a standard Savings ISA with Lloyds Bank. I’m wanting to move my savings into e.g. AJ Bell’s ISA or Trading212’s so I can basically invest it into a Halal fund rather than the savings just sitting there losing value in inflation.

I think I read that only 1 ISA is allowed for tax purposes. Do I need to “delete” the Lloyds ISA before signing up to AJ’s / T212’s?


W Salam

I am assuming you have a standard Cash ISA with Lloyds? And you are looking to open a Stocks & Shares ISA with AJ Bell?

If that is the case, then you are fine to open a S&S account with AJB, without needing to ‘delete’ your Lloyds ISA (assuming that you have not already contibuted more than 20K this tax year into your Lloyds Cash ISA).

Lloyds - you have contributed £5K into the cash ISA since April 2020
AJ Bell - you can now open a S&S with AJ Bell and contribute upto 15K before April 2021

What you have read about only having 1 ISA (£20k allowance) is correct, but the allowance can be split up into 1) Cash 2) Stocks & Shares 3) Innovative Finance and 4) Lifetime ISA

Hope this makes sense and please forgive me if I have made any mistakes.