ISAs

As there are usually no minimum periods of investment and limited tax implications, ISAs can be an attractive proposition, especially to those paying tax.

Stocks and shares ISAs offer the possibility of higher returns than their cash alternatives but they do come with higher associated risk. Unlike a cash ISA which offers tax free saving, a stocks and shares ISA lets you put money into range of different investments, including unit trusts, open-ended investment companies (OEICs) and investment trusts, as well as government and corporate bonds free of income and capital gains tax.

As of April 2017 you can place up to £20,000 into an ISA each tax year.