Biggest stocks and shares Isa accounts worth around 17 times top cash Isas

The average of the top 25 stocks and shares Isa pots is worth around 17 times the average of the biggest cash Isa accounts, according to figures from HM Revenue and Customs (HMRC).

A freedom of information (FOI) request made to the revenue body by InvestEngine found the average value of the top 25 highest value stocks and shares Isas only is £10,980,000.

The average value of the top 25 highest value cash Isas only is £640,000, according to the figures, for the tax year 2022/23.

The figures, which were based on the number of accounts rather than account holders, were rounded to the nearest £10,000.

The HMRC document also said there were around 3,080 Isa accounts with a market value of £1 million-plus in 2022/23.

It counted 30 cash Isa accounts with £500,000-plus in them and 38,680 stocks and shares accounts containing at least £500,000 in the tax year 2022/23. The figures were rounded to the nearest 10.

While around 1,530 cash Isas had £250,000-plus in them, the total for stocks and shares Isas was 244,570 in 2022/23.

Speculation over potential changes to the cash Isa limit has intensified in the run-up to the Budget.

Andrew Prosser, head of investments at InvestEngine, said the data obtained through the FOI “reveals a clear and growing divide between saving and investing”.

He said: “While cash Isas will always have an important role, especially for shorter-term financial needs, the figures set out clearly the value of long-term investing, with the highest-value stocks and shares Isas now worth 17 times that of the top cash Isas on average.

“Even beyond the top tier, the pattern is the same. Only 30 cash Isas across the country hold over £500,000, compared to almost 39,000 stocks and shares Isas. The difference reflects how consistent investing has proven to be the most effective route to building meaningful, long-term wealth.

“It’s these kinds of numbers that truly help demonstrate the potential that investing holds.”