Lifetime ISAs for ISA managers
Find out how you should manage Lifetime ISAs including payments, transfers and withdrawals.
A Lifetime ISA is an individual savings account that can be used to save towards the purchase of a first home or to save for later life. Lifetime ISAs differ from other ISAs in that:
- individuals are eligible for a government bonus worth 25% of what they save
- there is a 25% withdrawal charge if individuals take money out of their Lifetime ISA and do not use it for its intended purpose
- there is an annual Lifetime ISA payment limit in each tax year of £4,000
- individuals must be aged 18 to 39 to open a Lifetime ISA
- there are additional information requirements when transferring Lifetime ISAs between Lifetime ISA managers
- there are additional digital reporting requirements for Lifetime ISA managers
Apply to be a Lifetime ISA manager
You can apply to be a Lifetime ISA manager online.
You’ll need to be an approved Lifetime ISA manager to create accounts for your investors and send information to HMRC using the Lifetime ISA Application Programme Interface (API).
Once you are a Lifetime ISA manager
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Read the guidance on managing Lifetime ISA applications and accounts.
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Find out about transferring Lifetime ISAs to a new Lifetime ISA manager or another type of ISA.
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Check when withdrawal charges apply.
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Read about withdrawals for first time residential purchase.
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Find out how to close or cancel a Lifetime ISA.
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Find out what to do if an investor dies or is terminally ill.
Last updated 15 May 2020 + show all updates
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The Lifetime ISA withdrawal charge has been reduced.
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Page updated with new information about who can open a LISA, and making payments from a matured Child Trust Fund.
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Page has been updated with new LISA guidance for 2019
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Guidance under heading ISA managers has been updated.
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A link to the new Lifetime ISA manager application service has been added.
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Guidance on your appeal rights has been updated.
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First published.