UK Parliament home

Open Guarantee a penalty-free transfer for LISA holders before its replacement

Created by Yuanyuan Huang
Closes on

Government to formally confirm and legislate for a penalty-free transfer window for all current Lifetime ISA holders, allowing them to move their savings into the new ISA (as announced in 2025 budget)— or an alternative savings product — without incurring any withdrawal penalty by April 2028.

The Government has announced that the LISA is being replaced by a new type of ISA in 2028. We believe thousands of holders are feeling trapped by the £450,000 property cap, unchanged since 2017. The average London house price exceeds £551,000. Withdrawing triggers a 25% penalty — removing not just the government bonus but also 6.25% of savers' own money.

In our view these savers followed government guidance and did nothing wrong. We call for the Government to legislate for a penalty-free transfer window before 2028 so no saver loses their own money.

Sign this petition

57 signatures

Show on a map

10,000

Petition progress

View all updates for this petition, with the most recent first.

  • Petition published

    This petition can now be signed.

    If this petition gets 10,000 signatures, government will respond to it.

    If this petition gets 100,000 signatures, it will be considered for debate in Parliament.

    This petition will stay open until 29 October 2026.