Blow for Premium Bonds savers as NS&I announces interest rate changes

NS&I has announced changes to a number of its savings products including Premium Bonds today. We explain what it means for savers.

Woman taking bank notes out of her wallet
(Image credit: coldsnowstorm via Getty Images)

NS&I is cutting the prize fund rate of its popular Premium Bonds from 4% to 3.8%, in a blow for savers hoping to win big in the monthly prize draws.

The odds of winning a prize will remain the same at 22,000 to 1 for every £1 bond but the total value of Premium Bonds prizes is set to fall.

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Value of prizes

Number and total value of prizes in February 2025

Number and total value of prizes in April 2025 (estimate)

£1,000,000

2

2

£100,000

82

78

£50,000

164

157

£25,000

328

313

£10,000

820

781

£5,000

1,641

1,565

£1,000

17,202

16,445

£500

51,606

49,335

£100

1,992,297

1,830,825

£50

1,992,297

1,830,825

£25

1,807,915

2,170,903

Total:

5,864,354 prizes

£430,052,425

5,901,229 prizes

£411,118,825

Daniel is a digital journalist at Moneyweek and enjoys writing about personal finance, economics, and politics. He previously worked at The Economist in their Audience team.

Daniel studied History at Emmanuel College, Cambridge and specialised in the history of political thought. In his free time, he likes reading, listening to music, and cooking overambitious meals.