You can have more than one, but you can only open one of each Individual Savings Account (ISA) type in the same year and there are a few things you should keep in mind.
There are four main kinds of ISA:
You can only put a set amount into ISAs each tax year – for the 2020/21 tax year it’s £20,000. You can split that amount across Cash or Stocks & Shares ISAs any way you choose.
If you’re able to invest into a Lifetime ISA, this has a £4,000 annual investment limit, which counts towards your £20,000 total. So you can split your allowance in a way that makes most sense for you and your financial goals.
Any money invested in a Junior ISA has its own limit of £9,000 (2020/21). It doesn't count towards the £20,000 limit for your own ISA.
You can only open one of each ISA type in the same tax year. For example, you can’t open two Stocks & Shares ISAs in a tax year, but you could open one Stocks & Shares ISA and one Cash ISA.
If you do open more than one ISA, keep in mind that you can’t put in more than £20,000 across all of them in one tax year.
It ultimately depends on what your goal is. It’s also a good idea to consider what your attitude to risk is and what timeframe you’re looking to save over.
For example, if your goal is to grow the value of your money over a longer period of time, then you might want to consider a Stocks & Shares ISA. This is because investing will give your money a greater chance of growing over time than, say, a Cash ISA. However, the value of investments can go down as well as up and you may get back less than was paid in, which isn't the case in a Cash ISA.
The information here is based on our understanding in November 2020.