Research shows 60% of Cash ISA holders could be persuaded to invest some of their savings in a Stocks and Shares ISA. While two thirds of UK adults have an ISA, confusion around how they work remains widespread more than 25 years after launch.
Financial constraints are the biggest barrier to investing, with 42% saying they don’t have enough money – rising to 45% among women. Concerns about risk also play a key role, with 35% worried about potential losses and 12% about access to their money.
Despite this, better returns are a strong incentive, with 39% saying it would encourage them to switch, rising to 50% among younger adults.
A lack of knowledge continues to hold people back. One in four say they don’t understand investing, and even among existing investors, many report only limited understanding of how their ISA works.
Need some help understanding ISAs? With a new tax year having just kicked off, there’s no time like the present to gen up.
Source: Royal London 2025