Closed to new applicants (Nov 2019) · Existing holders: claim bonus by Dec 2030 · LISA alternative · Updated May 2026
The Help to Buy ISA is closed to new applicants. It stopped accepting new accounts on 30 November 2019. If you don't already have one, see the Lifetime ISA (LISA) section for the current alternative. If you do have one, read on — you still need to act before December 2030.
Key facts for existing holders
Feature
Detail
Monthly saving limit
£200/month (£1,200 in the first calendar month of opening)
Maximum saveable
£12,000
Government bonus
25% of savings (maximum bonus £3,000)
Minimum for bonus
£1,600 saved (gives £400 minimum bonus)
Bonus claim deadline
1 December 2030
Property price cap
£250,000 (£450,000 in London)
For first-time buyers only?
Yes — you must never have owned a property
Can be used alongside partner's LISA/HTB ISA?
Yes — both people can use their own accounts
Still worth topping up: If you have savings headroom left (under £12,000) and plan to buy before December 2030, continue saving into your Help to Buy ISA at £200/month. Every £800 you save earns a guaranteed £200 bonus — a 25% return with no investment risk.
How the 25% bonus works
The government adds 25% to whatever you have saved in your Help to Buy ISA when you use the funds to buy your first home. The bonus is paid on the closing balance of the account, not your monthly contributions.
Savings in your HTB ISA
Government bonus (25%)
Total toward deposit
£1,600 (minimum)
£400
£2,000
£4,000
£1,000
£5,000
£8,000
£2,000
£10,000
£12,000 (maximum)
£3,000
£15,000
The bonus cannot be used for the exchange deposit. The Help to Buy ISA bonus is applied on completion, not exchange. Your conveyancer will use the bonus funds to reduce the amount you borrow or to reimburse you — it cannot be used as the 10% deposit typically paid at exchange. You'll need other funds for exchange.
Property price limits
The property you buy using the Help to Buy ISA bonus must not exceed:
£250,000 — anywhere outside London
£450,000 — in London
This limit applies to the full purchase price. In shared ownership, the cap applies to the full market value of the property (not just the share you're buying). The property must be your primary residence — it cannot be rented out after purchase.
How to claim the bonus
The claim process is handled by your conveyancer (solicitor or licensed conveyancer) — you do not apply for the bonus yourself. Here's how it works:
You find a property and have an offer accepted
You close your Help to Buy ISA and transfer the funds to your conveyancer's client account
Your conveyancer applies to the government portal (Help to Buy ISA Bonus Claim Portal) for the 25% bonus
The bonus is paid directly to your conveyancer and applied to your purchase on completion
The bonus reduces either your mortgage (increasing equity) or your completion payment
Close the account before completion, not before exchange. You can keep saving right up until you're ready to close the account for the purchase. Don't close early as you'll lose any further interest accrued. The claim must be made and completion must happen before the 1 December 2030 deadline.
Withdrawing without buying — what you lose
If you close your Help to Buy ISA without buying a property, you simply receive your savings back with any interest earned — but you do not get the government bonus. The bonus has never been credited to your account; it's only created when a qualifying purchase completes.
You lose nothing you've saved — only the potential bonus. There's no penalty for withdrawal.
The Lifetime ISA — the current alternative
If you don't have a Help to Buy ISA, the Lifetime ISA (LISA) is the current government scheme for first-time buyers. It is significantly more generous:
Feature
Help to Buy ISA
Lifetime ISA
Open to new applicants?
No (closed Nov 2019)
Yes (must open before age 40)
Annual contribution limit
£2,400/yr (£200/mo)
£4,000/yr
Maximum total savings
£12,000
No limit (up to age 50)
Government bonus
25% on completion
25% added monthly
Maximum annual bonus
£600/yr
£1,000/yr
Lifetime bonus cap
£3,000
No cap (up to age 50)
Property price cap
£250k (£450k London)
£450,000
Penalty for non-qualifying withdrawal
None (lose bonus only)
25% withdrawal charge (effectively losing the bonus + ~6.25% of your savings)
No. The Help to Buy ISA closed to new applicants on 30 November 2019. If you already hold one, you can continue saving and must claim your bonus by 1 December 2030. If you don't have one, the Lifetime ISA is the current government scheme — it offers a higher annual bonus and a higher property price cap.
Your conveyancer (solicitor or licensed conveyancer) claims the bonus on your behalf using the government's Help to Buy ISA Bonus Claim Portal. You close your account, transfer the funds to your conveyancer, and they apply for the bonus which is paid directly to them and applied at completion. You do not need to contact HMRC directly.
Yes. The Help to Buy ISA can be used for any first-time residential purchase under the property price cap (£250,000 outside London, £450,000 in London). This includes existing properties, new builds, and shared ownership homes — as long as the full market value of the shared ownership property is under the cap.
The Lifetime ISA (LISA) is the current scheme. You can contribute £4,000/year and receive a 25% bonus (up to £1,000/yr) added monthly to your account. The property cap is £450,000 (higher than the HTB ISA). You must open a LISA before age 40. There is a 25% withdrawal penalty if you withdraw without buying a qualifying property or reaching age 60.