3.4 million cash ISA holders could adopt investing after Budget changes
Budget cuts to cash ISAs open door to broader investment uptake
By Boring Money
26 Nov, 2025
The cuts in cash ISAs for under 65s announced by the Chancellor are aimed to encourage more investment in the stock market.
Boring Money data confirm that 10.8 million UK adults under the age of 65 have a cash ISA but not a stocks and shares ISA3.
Of these, 3.4 million have more than £10,000 in cash so could responsibly consider investing.
Holly Mackay, Boring Money’s CEO, comments, “The biggest barrier to investing is a fear of loss, and so education and content will be more important here rather than any Treasury sticks.
“There is some wiggle room here. People under 65 who want to use the full £20,000 and still allocate it to cash have two choices. They can either leave it in their investment platform’s cash account, or invest it in a money market fund in the stocks and shares ISA.”
The latest investment platforms’ interest rates are shown below, as are three top-selling Money Market funds across major DIY investment platforms.
Investment Platform Interest Rates as at 25 November 2025
The Royal London Money Market fund has been a consistent bestseller on retail investment platforms. Over the last 12 months, it's returned around 4.6% and ‘interest’ is paid every month. Other popular options include L&G’s cash trust.
