The Individual Savings Account (Amendment) Regulations, SI 2023/264, relax certain rules on assets which can be held within (or returned to) the ISA wrapper, and provide further safeguards for investors where an ISA manager loses its approved status.
Amendments to the principal ISA Regulations (SI 1998/1870) include:
the definition of ‘recognised UCITS’ is updated to allow overseas collective investment schemes recognised by the Financial Conduct Authority to be held within an ISA;
investors in a stocks and shares ISA whose funds had been transferred to the dormant assets scheme and subsequently recovered, will be able to return those funds to an ISA of their choice, rather than being restricted to an ISA of the same type with the original provider; and
ISA managers will be required to take extra steps where their status as an approved ISA manager is being withdrawn by HMRC, including notifying investors in good time to make sure funds can be transferred without losing their tax-exempt status - new reg 17A provides particular requirements in relation to the withdrawal of Junior ISA manager approval.
The Individual Savings Account (Amendment) Regulations, SI 2023/264, relax certain rules on assets which can be held within (or returned to) the ISA wrapper, and provide further safeguards for investors where an ISA manager loses its approved status.
Amendments to the principal ISA Regulations (SI 1998/1870) include:
the definition of ‘recognised UCITS’ is updated to allow overseas collective investment schemes recognised by the Financial Conduct Authority to be held within an ISA;
investors in a stocks and shares ISA whose funds had been transferred to the dormant assets scheme and subsequently recovered, will be able to return those funds to an ISA of their choice, rather than being restricted to an ISA of the same type with the original provider; and
ISA managers will be required to take extra steps where their status as an approved ISA manager is being withdrawn by HMRC, including notifying investors in good time to make sure funds can be transferred without losing their tax-exempt status - new reg 17A provides particular requirements in relation to the withdrawal of Junior ISA manager approval.
