Help to Buy ISAs and the Lifetime ISA

What’s going to happen to the Help to Buy ISA?

You’ll be able to open a Help to Buy ISA until 30 November 2019. Beyond that date, if you have one, you can keep saving in it until 30 November 2029. You must claim your bonus by 1 December 2030.

Head-to-head: The Lifetime ISA vs the Help to Buy ISA

Lifetime ISA Help to Buy ISA
Age to open one 18-39 16+
Annual contribution limit £4,000 £2,400 + an additional £1,000 in the first month
Contribution type Any – lump sum or monthly Monthly, up to £200
Government bonus 25% of contributions 25% of contributions
Maximum bonus £1,000 per year until you're 49 £3,000 total
Bonus paid Monthly When you buy your home
Earn interest/growth on bonus Yes No
Eligible ISA type Cash or stocks and shares Cash
Maximum property price £450,000 £450,000 in London, £250,000 everywhere else
Earliest withdrawal period to buy first home with bonus It must be at least 12 months since the first contribution was made to your Lifetime ISA Once you’ve saved £1,600
‘Ineligible’ access penalty A 25% government penalty on the total value of the withdrawal None, you just don’t get the bonus

Can I transfer my Help to Buy ISA to Nutmeg?

No, we won’t be providing this service. Read our Help to Buy transfers FAQ 

Can I have a Lifetime ISA and a Help to Buy ISA?

If you currently have a Help to Buy ISA you can continue to put money into it. You can transfer it to the Lifetime ISA (though not at Nutmeg), or you can choose to save into both — but you will only be able to use the bonus from one of them to buy your first property.

Can I transfer my Help to Buy ISA to a Lifetime ISA?

If you have a Help to Buy ISA, you can choose to transfer your savings into a Lifetime ISA. However, any funds transferred from a Help to Buy ISA to a Lifetime ISA will be treated as current year payments and count towards the annual Lifetime ISA limit.