WealthKernel introduces Flexible ISAs for FY 2025

For years, traditional and non flexible ISAs have come with a major limitation - once you withdrew money from your ISA, you couldn't put it back without it using up your annual allowance. If you had paid the maximum of £20,000 into your ISA in a given tax year and needed to take out £2,000, you wouldn’t be able to replace that money. That’s because you have paid in the maximum amount allowed under the ISA rules.

This limitation made it difficult to count on these savings for emergencies or short-term needs without impacting the annual allowance. And while flexible ISAs have been around since 2016, few providers have offered them.
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Why do Flexible ISAs change the game?
 

Starting from FY 2025, WealthKernel’s Stocks and Shares ISA is now a Flexible ISA, meaning that investors can withdraw money from their ISA and replace it in the same tax year without affecting their current year’s subscription limit.
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The flexibility gives investors the confidence to put their savings in ISAs, knowing that they can use these for emergencies without being penalised. With WealthKernel’s API driven Flexible ISA, businesses can offer their customers -

• More control and access to their money - With a flexible ISA account, they can deposit the full £20,000 at the start of the tax year, withdraw cash as needed, and then re-deposit the money before the tax year ends, making the most of the tax-free allowance
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• An emergency buffer - Access to their savings almost immediately without any penalty or setbacks
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Why now?
 

WealthKernel has always aimed to make investing more accessible for everyday investors. Given the economic and political instability, investors should have more adaptable and flexible savings solutions for their money.
 

With the UK Government considering lowering the cash ISA limit to encourage more people to invest, launching a Flexible ISA offers a smart alternative. It allows investors to hold their money in cash, withdraw and replace it without losing their annual allowance, and access their funds during emergencies without penalty. 

By adding flexibility to our ISAs, we are helping businesses offer products that are better suited and adaptable to real-life situations and not only help investors stay on track with their money goals and keep their savings replaceable in emergencies.
 

Our Flexible ISA has been designed to offer clarity and control over ISA subscriptions. Our ISA subscriptions endpoint now includes a ‘replaceableAmount’ field that makes it easy to show investors how much money they can put back in. As an HMRC-registered ISA manager, our ISA endpoints are fully compliant and ready to help businesses launch and scale their investment propositions.

We have a couple more developments down the road, but if you want to learn more about our flexible ISAs, check out our API docs or contact our sales team here.