Petition · past parliament · Department for Work and Pensions

Allow fractional shares to be held in an ISA

Closed 658 signatures

What the petition asks

After years of ISA providers allowing fractional shares to be held in ISAs, this practise is being disputed by HMRC, on the basis of regulations from the 1990s. We want the Government to make changes to relevant regulations to make it clear fractional shares can be held in an ISA.
We believe any steps to prevent fractional shares being held in ISAs would be a backwards move that may make investment in the UK dry up unnecessarily, and penalise smaller investors who are building their investment pot.

It could also damage confidence in investment and investing and mean that more people might be tempted to either give up investment if they are now to be taxed on something they thought was an account free of capital gains and dividend taxes. The talk of potential fines further stands to damage the confidence of retail investors who are beginning their investment journey.

Timeline

25 Oct 2023 Petition opened for signatures
25 Apr 2024 Closed to new signatures

Key facts

Signatures 658
Status Closed
Department Department for Work and Pensions
Opened 25 Oct 2023
Closed 25 Apr 2024

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Source: the official petition page. Last checked 15 Jul 2026.