Individual savings accounts (ISAs) allow you to save a fixed amount every year that will be tax-free for the duration of the account. As of 2020/21, you may save a maximum of £20,000 per year in an ISA (ISA allowance).

An ISA is a tax-advantaged savings account established by the government. Isas are available in two forms: cash, which can be used to deposit any type of income, and stocks and shares, which are designed for investment purposes.