NS&I gives Valentine's Day boost to savers

Premium Bonds prize fund rate increases to 3.30% from March 2023 draw
Fifth prize fund rate increase for Premium Bonds in the last year
Interest rate increases for Direct Saver and Income Bonds to 2.85% with immediate effect

The Premium Bonds prize fund rate is increasing to 3.30%, up from 3.15%, effective from next month’s draw, meaning around £15 million more in prizes up for grabs. And in a further Valentine’s Day boost for people’s savings pots, Direct Saver and Income Bonds customers will also see their interest rates increase to 2.85%, up from 2.60%, from today.

The change to the Premium Bonds prize fund rate is the fifth increase that NS&I has made in the last year. The odds of each £1 Bond winning a prize will remain at 24,000 to 1, with the changes meaning that the number of prizes worth £50 to £100,000 will increase from the March draw.

These changes will ensure that NS&I’s savings products are balanced when compared to the broader savings market. The changes also ensure that NS&I continues to balance the interests of savers, taxpayers and the broader financial services sector.

NS&I Chief Executive, Ian Ackerley, said: “Premium Bonds are one of the nation’s most loved ways to save, giving people the monthly anticipation of a potential win while knowing their money is 100% safe. We’re also giving a Valentine’s Day boost to our Direct Saver and Income Bonds customers who will see their interest rates rise from today.

“We are committed to ensuring our products remain attractive and our customers can continue to save with confidence. Today’s changes mean that we continue to balance the interests of savers, taxpayers and the broader financial services sector.”

Current and new Premium Bonds prize fund rate and odds

Current prize fund rate (to February 2023)

Current odds

(to February 2023)

New prize fund rate (from March 2023)

Odds from March 2023 (no change)

3.15% tax-free

24,000 to 1

3.30% tax-free

24,000 to 1

Number and value of Premium Bonds prizes

Value of prizes in February 2023	Number of prizes in February 2023	Value of prizes in March 2023 (estimated)	Number of prizes in March 2023 (estimated)
£1,000,000	2	£1,000,000	2
£100,000	59	£100,000	62
£50,000	117	£50,000	123
£25,000	236	£25,000	248
£10,000	590	£10,000	620
£5,000	1,177	£5,000	1,236
£1,000	12,573	£1,000	13,173
£500	37,719	£500	39,519
£100	1,280,509	£100	1,400,876
£50	1,280,509	£50	1,400,876
£25	2,376,161	£25	2,132,917
Total £314,347,875	Total 4,989,652	Total £329,316,825	Total 4,989,652

Variable rate savings products

Product

Previous interest rate (from 24 January 2023 to 13 February 2023)

Interest rate from today (14 February 2023)

Direct Saver

2.60% gross/AER

2.85% gross/AER

Income Bonds

2.60% gross/2.63% AER

2.85% gross/2.89% AER

NS&I gives Valentine’s Day boost to savers

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