Reeves' rumoured ISA reforms risk 'harm' and diversification issues

Concerns over rumoured £10k cash ISA cap and potential UK equity mandate

Sahar Nazir
clock • 5 min read

The government’s rumoured ISA reforms could create complexity and risk limiting diversification, despite the policy’s aim of boosting investment in the UK, financial planners have warned.

Recent reports suggested that chancellor Rachel Reeves is considering halving the £20,000 annual ISA allowance, introducing a £10,000 cap on cash ISAs, and mandating a minimum level of UK equity exposure within stocks and shares ISAs. ‘The devil will be in the detail for ISA reform' While the Treasury has not confirmed any details, advisers have been quick to question the potential implications for investors and the advice process. Connor Broadley financial planner Alice Sanders said the impact of a UK equity mandate would depend heavily on its scope, warning it could disrupt invest...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Your profession

Almost half of clients report increase in advice fees

Almost half of clients report increase in advice fees

One of five advisers plan to increase initial fees in next 12 months

Isabel Baxter
clock 12 March 2026 • 2 min read
Treasury Committee launches inquiry into student loans

Treasury Committee launches inquiry into student loans

‘This inquiry is about fairness’

Isabel Baxter
clock 12 March 2026 • 2 min read
Advisers on Iran war: 'My advice goes well beyond just saying don't panic'

Advisers on Iran war: 'My advice goes well beyond just saying don't panic'

‘Clients are naturally concerned’

clock 11 March 2026 • 5 min read