{
  "$type": "site.standard.document",
  "bskyPostRef": {
    "cid": "bafyreiaug5obzhcj3euxzlxpuqusx3byuv3h6wetuant6caxlji3qp2yni",
    "uri": "at://did:plc:oznbnvgr7dmvddiyvr7dih52/app.bsky.feed.post/3mem2ssqeug22"
  },
  "coverImage": {
    "$type": "blob",
    "ref": {
      "$link": "bafkreiezqkxdknqolidva4a6chnj4bvop3nzp4hlfqs3vsmm222jziwmwu"
    },
    "mimeType": "image/jpeg",
    "size": 42011
  },
  "path": "/money/martin-lewis-explains-little-known-cash-isa-rule",
  "publishedAt": "2026-02-11T17:51:08.000Z",
  "site": "https://www.gbnews.com",
  "tags": [
    "Martin Lewis issues urgent advice to Nationwide customers hoping to secure £100 bonus",
    "Martin Lewis's urgent pension warning affecting millions of Britons: 'Avoid this huge mistake!'",
    "Martin Lewis fan reveals 'godsend' advice that saved her £12,000 in missed entitlements",
    "The GB News Editorial Charter"
  ],
  "textContent": "\n\n\nMartin Lewis has highlighted a little-known rule that allows surviving spouses and civil partners to increase their Cash ISA allowance using the value of a deceased partner’s ISA savings.\n\nSpeaking on Tuesday evening, the consumer champion explained many savers are unaware of how ISA allowances can be affected following the death of a partner.\n\n###\n\n\n\n\nMr Lewis was responding to a viewer question about what happens to ISA savings when someone dies and how surviving partners can preserve tax advantages.\n\nHe said: \"There is a special rule on death that says existing ISAs can be passed on to your spouse.\"\n\n###\n\n\n\n\nTRENDING\n\nStories\n\nVideos\n\nYour Say\n\n###\n\n\n\n\nMr Lewis explained the rule allows surviving spouses or civil partners to apply for an additional ISA allowance equivalent to the value held in their partner’s ISA at the time of death.\n\nHe said the additional allowance can be granted even if the surviving partner does not directly inherit the ISA funds themselves.\n\n\"Imagine your spouse has £30,000 in an ISA, you can apply to add this to your allowance,\" Mr Lewis said.\n\n\"So you now have an extra £30,000 ISA allowance. And that happens even if you are not the beneficiary of the money.\"\n\n###\n\n\n\n\n###\n\n\n\n\n###\n\n\n\n\nMr Lewis said the rule means that if a deceased partner’s ISA savings are passed directly to children or other beneficiaries, the surviving spouse can still request an increase to their own ISA allowance by the same amount.\n\nHe said: \"So let’s say the £30,000 went to the kids, you can still apply to increase your allowance by £30,000.\n\n\"So it’s a big yes to that one.\"\n\nThe ISA inheritance rule was introduced more than a decade ago as part of pension and savings reforms announced by then-Chancellor George Osborne in the 2014 Autumn Statement.\n\n### LATEST DEVELOPMENTS\n\n\n\n\n  * Martin Lewis issues urgent advice to Nationwide customers hoping to secure £100 bonus\n  * Martin Lewis's urgent pension warning affecting millions of Britons: 'Avoid this huge mistake!'\n  * Martin Lewis fan reveals 'godsend' advice that saved her £12,000 in missed entitlements\n\n\n\n###\n\n\n\n\n###\n\n\n\n\nBefore the rule was introduced, surviving spouses could inherit ISA savings but the funds would lose their tax-free status once transferred.\n\nThe Treasury estimated at the time around 150,000 people each year were losing tax advantages on inherited ISA savings following the death of a partner.\n\nThe additional allowance rule applies to both Cash ISAs and stocks and shares ISAs, allowing surviving partners to maintain tax-efficient savings if they apply successfully.\n\nHowever, the rule only applies to legally married couples and civil partners and does not extend to common-law partners or unmarried couples.\n\n###\n\n\n\n\n###\n\n\n\n\nIndustry guidance states that unmarried partners are not eligible for the additional ISA allowance even if they shared finances or lived together long term.\n\nMr Lewis has also previously warned while ISAs protect savings from income tax on interest and investment returns, they do not protect the total value from inheritance tax.\n\nInheritance tax can be charged at 40 per cent on qualifying estates above available thresholds, depending on individual circumstances.\n\nCurrent rules allow individuals to pass on up to £325,000 in assets without paying inheritance tax.\n\n###\n\n\n\n\n###\n\n\n\n\nAn additional £175,000 allowance may apply when a main home is passed to a direct descendant such as a child or grandchild.\n\nSurviving spouses and civil partners can also inherit any unused inheritance tax allowance from their partner under current HMRC rules.\n\nFinancial experts say understanding how ISA and inheritance tax rules interact can be important for estate planning and long-term tax efficiency.\n\nRecent policy discussions have also focused on future ISA allowance changes, with proposals suggesting Cash ISA limits could be reduced from £20,000 to £12,000 from April 2027.\n\n###\n\n\n\n\nUnder those proposals, the remaining £8,000 of the current £20,000 annual ISA allowance would need to be invested into stocks and shares ISAs.\n\nReports have also indicated savers aged over 65 may retain the ability to continue paying the full £20,000 annual allowance into Cash ISAs under potential exemption rules.\n\nAny confirmed changes would form part of wider savings policy reforms aimed at encouraging long-term investment while maintaining support for older savers.\n\nFinancial advisers say ISA rules remain complex and recommend individuals seek regulated advice or check official HMRC guidance when planning inheritance or long-term savings strategies.\n\n###\n\n\n\n\n**Our Standards:The GB News Editorial Charter**",
  "title": "Martin Lewis explains little-known Cash ISA rule which adds £30,000 to your tax-free limit"
}