Trading 212 ISA Review: Stocks & Shares ISA and Cash ISA
Trading 212 has become one of the most popular investment platforms in the UK, and for good reason. With over 4.5 million funded accounts and more than £25 billion in client assets, it has carved out a strong position in the commission-free investing space. But how does its ISA offering stack up?
We tested both the Stocks and Shares ISA and the Cash ISA on Trading 212 to see whether the platform lives up to the hype. In this review, we cover fees, features, how it compares to alternatives, and who it suits best.
For a broader look at the platform beyond just ISAs, see our full Trading 212 review.
What Is an ISA and Why Does It Matter?
An Individual Savings Account (ISA) is a tax-efficient wrapper available to UK residents. Any gains, dividends, or interest earned within an ISA are completely free from UK tax. You do not pay capital gains tax, dividend tax, or income tax on anything held inside it.
The annual ISA allowance for the 2025/26 tax year is £20,000. This is shared across all ISA types, so if you put £5,000 into a Cash ISA, you have £15,000 left for a Stocks and Shares ISA (or vice versa). Since April 2024, you can also contribute to multiple ISAs of the same type in the same tax year, as long as your total stays within the £20,000 limit.
Worth noting: from April 2027, under-65s will only be able to put up to £12,000 into Cash ISAs per year, with the remaining £8,000 reserved for Stocks and Shares or other ISA types. This makes it even more important to consider where you hold your ISA now.
If you are currently using a general investing account (like Trading 212's Invest account), you are likely missing out on these tax benefits. The good news is that switching is straightforward, and we explain how below.
Trading 212 ISA at a Glance
Trading 212 offers two ISA products under one roof: a Stocks and Shares ISA and a Cash ISA. Both are completely fee-free and flexible, meaning you can withdraw and redeposit within the same tax year without affecting your annual allowance.
Stocks and Shares ISA
The Stocks and Shares ISA is where Trading 212 really shines. You get access to over 12,000 stocks and ETFs from markets including the UK, US, Germany, France, Spain, and the Netherlands, all with zero trading commissions. There is no platform fee, no ISA account fee, and no inactivity fee.
The only cost you will encounter is a 0.15% FX fee when trading instruments denominated in a currency other than GBP. For context, that is one of the lowest in the UK market. Lightyear charges 0.35%, XTB charges 0.50%, and eToro charges 0.70%. So if you buy US stocks or international ETFs, Trading 212 is significantly cheaper than most alternatives.
Stamp Duty (SDRT) of 0.5% applies when purchasing LSE-listed UK shares, but this is a government tax that applies on every platform, not a Trading 212 fee.
Pies and AutoInvest
One of the standout features is Pies, which works fully within the Stocks and Shares ISA. A Pie lets you group up to 50 instruments into a single portfolio with custom weightings. You can create your own, copy community-created pies, or use model portfolios from providers like BlackRock.
Combined with AutoInvest, you can set up automated recurring investments on a daily, weekly, or monthly schedule. This essentially puts your ISA investing on autopilot, which is ideal for anyone who wants to build wealth consistently without having to log in and manually place trades. Dividends can also be automatically reinvested through the DRIP feature.
This is genuinely one of the best auto-investing setups available on any UK platform. InvestEngine offers something similar for ETFs, but Trading 212's version covers individual stocks too, which gives it a meaningful edge.
Fractional Shares
Trading 212 supports fractional shares within the ISA, meaning you can invest in expensive stocks like Amazon or Berkshire Hathaway with as little as £1. This is particularly useful for new investors who want to build a diversified portfolio without needing thousands of pounds upfront.
Interest on Uninvested Cash
Any cash sitting in your Stocks and Shares ISA earns interest at approximately 3.60% AER. This is paid through Qualifying Money Market Funds (QMMFs) and accrues daily. Within the ISA wrapper, this interest is completely tax-free.
This is a notable advantage. Many competitors, including InvestEngine, pay zero interest on uninvested cash. With Trading 212, your money is working for you even while you decide what to invest in next.
Cash ISA
Trading 212 also offers a Cash ISA alongside the Stocks and Shares ISA. The standard rate currently sits at 3.60% AER, which tracks the Bank of England base rate (currently 3.75%) minus 0.15%. New customers can benefit from a promotional rate of 4.40% AER for the first 12 months, which includes a 0.80% fixed bonus on top of the standard variable rate.
The Cash ISA is instant access and fully flexible. There are no fees whatsoever, no minimum balance requirements, and interest accrues daily (paid monthly on the third calendar day). For a full comparison of Cash ISA providers, see our best Cash ISAs in the UK ranking.
Having both a Stocks and Shares ISA and a Cash ISA on the same platform is convenient. You can split your £20,000 allowance between the two depending on your risk appetite, all managed from a single app. Not many platforms offer this, as InvestEngine and Vanguard both lack a Cash ISA option. If you are also looking at non-ISA savings options, our best high-yield savings accounts in the UK comparison is worth a look.
ISA vs Invest Account: What is the Difference?
Trading 212 offers both an Invest account and an ISA. The instruments, fees, and features are identical. The only differences are around tax treatment and contribution limits.
The bottom line: if you are a UK resident and investing up to £20,000 per year, there is very little reason not to use the ISA. You get the exact same instruments, the exact same fees, and the exact same features, but all your returns are tax-free.
One important caveat: there is no direct transfer between your Invest account and your ISA on Trading 212. If you already hold investments in the Invest account and want to move them into the ISA, you would need to sell the positions, withdraw the cash, and redeposit into the ISA. This counts toward your annual allowance and may trigger a capital gains tax event. It is worth planning ahead rather than retroactively moving funds.
Fees Breakdown
Trading 212's fee structure for the ISA is one of the simplest and most competitive in the UK. Here is the full picture:
- Trading commission: £0 on all stocks and ETFs
- Platform fee: £0
- ISA account fee: £0
- Inactivity fee: £0
- FX conversion fee: 0.15% (only when trading non-GBP instruments)
- Stamp Duty (SDRT): 0.5% on LSE-listed UK shares (government tax, not a T212 fee)
- Deposit fees: Free via bank transfer. Free via card up to cumulative £2,000, then 0.7% above that
- Withdrawal fees: £0
If you primarily invest in UK-listed ETFs or GBP-denominated instruments, your effective cost on Trading 212 is essentially zero. Even for US stocks, 0.15% is a fraction of what most competitors charge. For more on Trading 212's regulation and safety, see our dedicated article.
How Trading 212's ISA Compares
The UK ISA market has become increasingly competitive. Here is how Trading 212 stacks up against the main alternatives for cost-conscious investors.
InvestEngine is the closest competitor for passive ETF investors, with zero platform fees on its DIY plan. However, it only offers around 830 ETFs and no individual stocks. Vanguard now charges a minimum of £4 per month for accounts under £32,000, making it genuinely cheaper to buy Vanguard funds through Trading 212 than on Vanguard's own platform.
XTB offers commission-free stock and ETF investing with access to over 5,000 instruments and a 0.50% FX fee. IG is a more established name with a broader product range (including options and futures), though it charges higher dealing fees for non-US shares. Lightyear has emerged as a strong contender for international stocks with a competitive 0.35% FX fee.
For those curious about eToro's ISA option, see our eToro ISA review. It is powered by Moneyfarm and carries management fees of 0.25%-0.75%, plus higher FX charges.
One new entrant to watch is Robinhood UK, which launched a Stocks and Shares ISA in February 2026 with a 0.10% FX fee. However, it only covers around 5,000 US-listed stocks with no UK or European instruments yet.
The key differentiator for Trading 212 is the combination of zero platform fees, a low 0.15% FX fee, 12,000+ instruments (including individual stocks), sophisticated auto-investing through Pies, and both a Stocks and Shares ISA and Cash ISA on the same platform. No single competitor matches all of these together.
ISA Transfers
Trading 212 supports ISA transfers both in and out, at no charge. You can transfer an existing ISA from another provider into Trading 212 through the app's portfolio transfer section. In-specie transfers (moving your actual holdings without selling them) are supported for full portfolio transfers, though fractional shares must be sold first.
If you want to transfer out of Trading 212 to another provider, you initiate the process through your new provider, who sends the transfer authority form to Trading 212. HMRC guidelines suggest 15 working days for Cash ISA transfers and 30 calendar days for Stocks and Shares ISA transfers, though actual timelines can vary.
It is worth noting that community feedback suggests ISA transfers can sometimes be slow or encounter administrative friction. If you are planning a transfer, allow extra time and do not withdraw funds manually, as this would break the ISA wrapper and count against your annual allowance.
How to Open a Trading 212 ISA
A note on the promotional offer: the free fractional share (worth £8-£100) is credited to your Invest account or Stocks and Shares ISA. It is not available for Cash ISA or CFD accounts. You need to deposit at least £1 and meet the requirements within 10 days of creating your account. For full details on the offer, see our Trading 212 promo code article.
Pros and Cons
Who Is the Trading 212 ISA Best For?
Based on our testing, the Trading 212 ISA is best suited for:
- Cost-conscious investors who want to minimise fees without sacrificing instrument selection
- Beginners who value a clean, intuitive interface and the ability to start with as little as £1
- Passive investors who want to set up automated investing through Pies and let their portfolio grow on autopilot
- Anyone currently using the Invest account who has not yet opened an ISA and is missing out on tax-free gains
- UK investors who want both a Cash ISA and Stocks and Shares ISA managed from a single platform
It may not be the best fit if you specifically need a SIPP for pension investing (consider InvestEngine or IG instead), or if you need access to bonds and gilts within your ISA.
Our Verdict
Trading 212 has built one of the strongest ISA propositions in the UK market. The combination of genuinely zero fees, a best-in-class auto-invest feature, and the widest instrument selection among commission-free platforms makes it hard to beat for most investors.
The user experience is smooth, the app is well-designed, and features like interest on uninvested cash and fractional shares show that Trading 212 is thinking about the details that matter. The ability to hold both a Cash ISA and a Stocks and Shares ISA on the same platform is a genuine convenience that most competitors simply do not offer.
The lack of a SIPP is the most notable gap, and ISA transfers could be smoother. But for the core job of investing tax-free with minimal friction and minimal cost, it is one of the best options available in 2026.
Frequently Asked Questions
Is Trading 212 a good option for an ISA?
Yes. Trading 212 offers one of the most competitive ISA packages in the UK, with zero commissions, zero platform fees, and over 12,000 instruments. It is particularly well-suited for investors who want low costs and an easy-to-use platform. For a full breakdown of how the platform works beyond the ISA, see our Trading 212 review.
Can I transfer my ISA to or from Trading 212?
Yes. Trading 212 supports both ISA transfers in and out at no charge. In-specie transfers are available for full portfolio transfers, though fractional shares must be sold first. Transfer timelines follow HMRC guidelines: 15 working days for Cash ISAs, 30 calendar days for Stocks and Shares ISAs.
What happens to my ISA if Trading 212 goes bust?
Your investments are protected by the Financial Services Compensation Scheme (FSCS) up to £85,000 per person. Cash deposits held with partner banks (Barclays, NatWest, J.P. Morgan Chase) are covered up to £120,000 per banking group. Client assets are held in segregated accounts, separate from Trading 212's own funds. For more details, read our article on whether Trading 212 is safe.
Do I pay tax on US dividends in my Trading 212 ISA?
The ISA shelters you from UK capital gains tax and UK dividend tax. However, US dividends are still subject to a 15% withholding tax at source (reduced from 30% via the W-8BEN form, which Trading 212 handles automatically). This applies to all UK ISA providers, not just Trading 212.
Is the Trading 212 ISA flexible?
Yes. Both the Stocks and Shares ISA and the Cash ISA are flexible ISAs. This means you can withdraw funds and redeposit them within the same tax year without it counting against your £20,000 annual allowance. The redeposit must occur in the same tax year as the withdrawal.
Do Pies work inside the Trading 212 ISA?
Yes. Pies and AutoInvest are fully available in the Stocks and Shares ISA. You can create custom pies with up to 50 instruments, set up automated recurring investments, and reinvest dividends automatically.
Can I have a Trading 212 ISA and an ISA with another provider?
Yes. Since April 2024, HMRC allows you to contribute to multiple ISAs of the same type in the same tax year. You can hold a Trading 212 ISA alongside ISAs from other providers, as long as your total contributions across all ISAs stay within the £20,000 annual limit.
Trading involves significant risk and may not be suitable for all investors. The value of investments can go down as well as up, and you may lose some or all of your initial investment. Past performance is not indicative of future results.
