Applications for ISA manager status
Find out who can be an ISA manager, how to apply and when to tell HMRC you'll stop being a manager.
Who can manage an ISA
Only persons (including companies) approved by HMRC can manage an Individual Savings Account (ISA).
To obtain approval to manage an ISA you must:
- be eligible to manage an ISA
- make an application to HMRC
- provide evidence to HMRC where necessary
Eligibility to manage an ISA
You are eligible to manage an ISA if you are:
- an authorised person within the meaning of section 31(1)(a) or (c) of, or Schedule 5 to, the Financial Services and Markets Act 2000 who has permission to carry on one or more of the activities specified in Articles 14, 21, 25, 36H, 37, 39G, 40, 45, 51ZA, 51ZC, 51ZE and 53 and, insofar as it applies to any of those activities, Article 64 of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001, (other than interim permission under Chapter 4 of Part 8 of the Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) (No. 2) Order 2013) (with evidence demonstrating such permission)
- a European institution with a UK base that carries on one or more of those activities in the UK and has entered the Financial Conduct Authority’s (FCA) temporary permissions regime
- a European Institution with a UK base that has permission to carry on a regulated activity in the UK under Part 4A of the Financial Services and Markets Act 2000 by virtue of regulations 8, 11, 28 or 34 of the European Economic Area (EEA) Passport Rights (Amendment, etc., and Transitional Provisions) (EU Exit) Regulations 2018
- a credit union that is an authorised person within the meaning of section 31(1)(a) of the Financial Services and Markets Act 2000 who has permission to carry on one or more of the activities specified in Article 5 of the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001
- the Director of Savings
- a building society
- a person falling within section 991(2)(b) or (c) of Income Tax Act 2007 — bank
- an insurance company within the meaning given by section 431(2) Income and Corporation Taxes Act 1988 — with evidence of either a notice of authorisation from the Treasury Insurance Directorate or the Friendly Societies Commission (UK insurers) — or a copy of HMRC authorisation under Article 6 of the First Long Term Insurance Directive (foreign insurers)
- an incorporated friendly society
- a registered friendly society
- an assurance undertaking that is not an insurance company within the meaning given by section 431(2) Income and Corporation Taxes Act 1988, an incorporated friendly society, or a registered friendly society
Definition of terms
| Term | Definition |
|---|---|
| European institution | means a person who is treated as having permission to carry on a regulated activity in the United Kingdom under Part 4A of the Financial Services and Markets Act 2000 by virtue of regulations 8, 11, 28 or 34 of the EEA Passport Rights (Amendment, etc., and Transitional Provisions) (EU Exit) Regulations 2018 |
| Credit union | a society registered as a credit union under the Industrial and Provident Societies Act 1965 or the Credit Unions (Northern Ireland) Order 1985 |
| The Director of Savings | has the same meaning as in the National Debt Act 1972 |
| Building society | a building society within the meaning of the Building Societies Act 1986, or the Irish Building Societies Act 1989 |
| Insurance company | within the meaning given by section 431(2) Income and Corporation Taxes Act 1988 includes: an insurance company that is authorised by the Treasury insurance Directorate to carry out insurance business within the UK an insurance company that is incorporated in, or formed under the law of, an EEA member state other than the UK, whose head office is in a member state, which is authorised in accordance with Article 6 of the First Long Term Insurance Directive, and is carrying on an insurance business in the UK through a branch or agency in the UK |
| Incorporated friendly society | a society incorporated under the Friendly Societies Act 1992 |
| Registered friendly society | a society within the meaning of the Friendly Societies Act 1992 — it includes a society treated as a registered friendly society by virtue of section 96(2) of that Act |
| assurance undertaking | an assurance undertaking within the meaning of Article 2 of the Council Directive of 5 Nov 2002 concerning life assurance (No. 2002/83) |
Exclusions
You cannot be an ISA manager if you would be prevented from acting as such by any:
- requirement imposed under section 43 of the Financial Services and Markets Act 2000
- prohibition imposed by, or under any rules made by the FCA under that Act
As an ISA manager, you cannot manage any of your personal ISAs.
Tax representatives
A manager who is approved as one of the following:
- a European institution or a relevant authorised person who does have a branch or business establishment in the UK, but does not intend to carry out all their functions as a manager at that branch or business establishment
- an assurance undertaking
As an approved manager, you must do one of the following:
- appoint a tax representative
- arrange with HMRC for someone else to meet your duties as an ISA manager
- make other arrangements with HMRC to ensure that your duties as a manager are met
A tax representative must be all of the following:
- an individual who is resident in the UK or a company that has a business establishment in the UK
- entitled to act on behalf of the manager in relation to the duties prescribed under the regulations
- responsible for ensuring that the manager meets the duties prescribed under the regulations
- personally liable where the manager fails to meet the prescribed duties, as if the duties imposed on the manager were jointly and severally imposed on them and the manager
The appointment of a tax representative will be terminated if HMRC has reason to believe the representative:
- has failed to ensure that the manager met their prescribed duties
- does not have adequate resources to ensure that the duties are met
HMRC will notify the manager of the termination, specifying the date on which the termination is effective.
Apply for approval as an ISA manager
If you are eligible to be an ISA manager, you must apply to HMRC for approval.
If you are approved by HMRC, you can offer the following:
- cash ISAs
- stocks and shares ISAs
- innovative finance ISAs
- Junior ISAs
If you want to become a Lifetime ISA manager, you must follow the instructions in the Lifetime ISA guidance.
You must provide:
- your full registered name or legal title
- your full address, including postcode, to which all communications should be sent
- the nature of your business
- the capacity in which your eligibility to manage an ISA is claimed
- the name, telephone number and email address of one or more individuals you appoint to act as liaison officers, to provide day-to-day contact with HMRC
- the full name of one or more individuals you appoint to act as an authorised signatory or signatories with the authority to sign formal documentation
- the types of ISA you will offer
- your bank account details
- your FCA or Prudential Regulation Authority (PRA) firm reference number
- confirmation that the FCA have granted the necessary authorisations
- information about outsourcing or delegation of functions where applicable
- information about fees, commissions or incentives where applicable
You must provide the information before your first claim to HMRC. Find out more about information you must supply before making a claim.
UK insurers should send a copy of their notice of authorisation from the Treasury Insurance Directorate or the Friendly Societies Commission. Foreign insurers should send a copy of their authorisation under Article 6 of the First Long Term Insurance Directive.
HMRC will consider your application and make a decision. If you are approved, we will:
- allocate a reference number for you to use in all future communications with HMRC
- include you in the next edition of the list of approved ISA managers
If you are not approved, we will write to you and explain why.
Your approval as an ISA manager will be valid from the date of the notice issued by HMRC.
The terms of your approval to be an ISA manager may include conditions. These conditions will ensure that you meet the provisions of the ISA regulations.
List of approved ISA managers
There is an Individual Savings Account (ISA): list of approved managers that is updated monthly.
Subsequent changes to information provided in the application
If any of the information in your application changes. tell HMRC as soon as possible using the change of information form. Changes can include:
- change of name, address or bank details
- change of liaison officer or authorised signatory
- change or addition of a trading name
- notification that you will stop being an ISA manager
If you offer Lifetime ISAs, you must tell HMRC if the changes also apply to the digital Lifetime ISA Application Programming Interface (API).
If you are incorporated, and you change your name, you must:
- attach a copy of the new certificate of incorporation to the change of details form
- send the change of details form to HMRC
If your liaison officer changes, the retiring liaison officer, or an authorised signatory, must tell HMRC.
If you have any queries about this process, contact HMRC at savings.audit@hmrc.gov.uk.
You will need to complete a new account manager application form if you want approval to manage another type of ISA.
Lifetime ISA manager authorisation
You will need to register for an organisational Government Gateway ID if you do not already have one.
You must use the Lifetime ISA online service to ask for approval to offer the Lifetime ISA. You will need to provide your:
- name and position
- business name
- Corporation Tax Unique Taxpayer Reference
- Z reference, if you are an existing ISA manager
- FCA number
- address, including postcode
- email address
- telephone number
When you submit an application, HMRC will send a message confirming that the application is being considered.
You will receive a notification from HMRC if your application is denied.
If HMRC authorises you to offer Lifetime ISAs, they will send email confirmation with further instructions to complete the process. This will include how to get an OAuth token. Token activation will allow you to connect to the Lifetime ISA API.
You will need to update your OAuth token every 18 months.
Ceasing to be a manager
You will stop being an ISA manager when:
- your approval is withdrawn by HMRC
- you stop managing ISAs voluntarily
- you no longer qualify to be a manager
Withdrawal of approval by HMRC
HMRC can withdraw your approval to be an ISA manager, either in full or in part, if they have reason to believe that you are:
- failing, or have failed to manage ISAs in accordance with the regulations
- not qualified to act as an ISA manager
- not opening ISA accounts within 18 months of approval being given
HMRC will issue a notice of withdrawal of approval detailing:
- the type of ISA the notice applies to
- the date from which the approval is withdrawn
- the disqualifying circumstances
- in respect of ISAs, it may specify that from the date of the notice, you must not accept subscriptions or open new accounts except to the extent specified in the notice
- in respect of Junior ISAs, it will specify that from the date of the notice, you must not accept subscriptions or open new accounts
The notice will explain how to make an appeal against the withdrawal. You must appeal within 30 calendar days of the date of issue of the notice.
On receiving a notice, you must notify the account investor:
- of their right to transfer their account to another manager
- if you intend to make a bulk transfer of accounts
- that the account will cease to be an ISA and exempt from tax unless it is transferred
You must notify the account investor not less than 30 calendar days before the date you will cease to be an ISA manager.
For their account to remain an ISA and exempt from tax, the account investor must instruct a transfer of their account before the ISA manager ceases to act as an account provider.
You will not cease to act as an account provider until all Junior ISA accounts have been transferred to another ISA manager.
Voluntary cessation
If you intend to stop managing ISAs, you must notify your investors and HMRC at least 30 calendar days before you stop being a manager. Your notice to investors must inform them:
- of their right to transfer their account to another manager
- if you intend to make a bulk transfer of accounts
- the account will cease to be an ISA and exempt from tax unless it is transferred
For their account to remain an ISA and exempt from tax, the account investor must instruct a transfer of their account before the ISA manager ceases to act as an account provider.
You will not cease to act as an account provider until all Junior ISA accounts have been transferred to another ISA manager.
Involuntary cessation
An ISA manager ceases to qualify when:
- they are no longer eligible
- as an individual, they become the subject of a bankruptcy restrictions order or an interim order
- as an individual in Scotland, their estate is sequestrated, or they make an arrangement or composition with their creditors
- as a company, a resolution has been passed or a petition has been presented to wind the company up
- as a European institution, the relevant authorised persons or assurance undertaking no longer has authority from the FCA or PRA to access the UK market
- a building society, or person falling within section 991 Income Tax Act 2007 ceases
- the directors have made a proposal under Part 1 of the Insolvency Act 1986 for a composition in satisfaction of its debts or a scheme of arrangement of its affairs
- all ISAs have been transferred to another manager or all client money has been distributed following the appointment of Special Administrators by the Courts
If you have ceased to qualify, you must inform HMRC and each investor within 30 calendar days of the date you ceased to qualify. Your notice to investors must inform them:
- of their right to transfer their account to another manager
- if you intend to make a bulk transfer of accounts
- the account will cease to be an ISA and exempt from tax unless it is transferred
For their account to remain an ISA and exempt from tax, the account investor must instruct a transfer of their account before the ISA manager ceases to act as an account provider.
You will not cease to act as an account provider until all Junior ISA accounts have been transferred to another ISA manager.
Returns required on cessation as a manager
If you have stopped managing ISAs, you must submit the following for the period from the previous reporting date to the date of cessation:
- an annual return and tax claim form
- a return of information — read Lifetime ISA
- an annual return of statistical information
In the case of involuntary cessation or withdrawal of approval, the person appointed to terminate the scheme, including Special Administrators, should submit these returns to HMRC.
Last updated 6 April 2024 + show all updates
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The eligibility section has been updated, as ISA managers must have a UK base. The withdrawal of approval section has been updated, as HMRC can now withdraw approval from ISA managers who do not open ISA accounts within 18 months of approval.
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Information about ceasing to be a manager has been updated.
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Information about what to do when an ISA manager stops being an account provider has been updated.
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Information about Eligibility to manage an ISA, Application for approval as an ISA manager and Involuntary cessation has been updated.
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This page has been updated because the Brexit transition period has ended.
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First published.