The rate on every NS&I savings product currently on sale, the date it started and the rate it replaced, read
from NS&I's own rate announcements. Rates checked 21 October 2026.
Premium Bonds prize fund rate and odds
Period
Annual prize fund rate
Odds per £1 Bond, each month
From the September 2026 draw (current)
4.35% variable
21,000 to 1
From the July 2026 draw (previous)
3.80% variable
22,000 to 1
Premium Bonds do not earn interest. The prize fund rate funds a monthly draw for prizes from £25 to £1 million, all
tax-free. You can buy from £25 and hold up to £50,000. NS&I announced the
September 2026 change on 18 August 2026.
Looking for your own results? Use NS&I's official
Premium Bonds prize checker.
We do not check Bond numbers.
Direct Saver and Income Bonds rates
Product
Current rate
In force from
Previous rate
Pay in
Interest paid
Direct Saver
3.75% gross/AER, variable
18 August 2026
3.45% gross/AER (from 14 May 2026)
£1 to £2 million per person
yearly
Income Bonds
3.69% gross / 3.75% AER, variable
18 August 2026
3.40% gross / 3.45% AER (from 14 May 2026)
£500 to £1 million per person
monthly
Investment Account (postal only)
2.05% gross/AER, variable
Date not published
Not published
£20 to not stated
not stated
Both accounts allow withdrawals with no notice or penalty. The Investment Account (postal only) is a postal-only account
NS&I does not promote on its website; it pays the lowest rate on its list.
Fixed-term British Savings Bonds rates
British Savings Bonds is the umbrella name for NS&I's Guaranteed Growth Bonds (interest added to the Bond and
paid at the end) and Guaranteed Income Bonds (interest paid monthly). These Issues have been on sale since
6 October 2026; they replaced the Issues that went on sale on 18 August 2026. All rates are
fixed for the term and the money cannot be taken out early.
Term
Issue
Growth Bonds
Income Bonds
Previous Issue
Previous Growth / Income
1-year
93
4.99% gross/AER
4.88% gross / 4.99% AER
92
4.82% gross/AER; 4.72% gross / 4.82% AER
2-year
81
5.07% gross/AER
4.96% gross / 5.07% AER
80
4.81% gross/AER; 4.71% gross / 4.81% AER
3-year
83
5.10% gross/AER
4.99% gross / 5.10% AER
82
4.83% gross/AER; 4.73% gross / 4.83% AER
5-year
75
5.17% gross/AER
5.06% gross / 5.17% AER
74
4.85% gross/AER; 4.75% gross / 4.85% AER
Minimum £500 for each Bond, maximum £1 million per person in each Issue. NS&I can withdraw an
Issue from sale without notice.
Green Savings Bonds rate
Issue
Rate
Available from
Term
Issue 10 (current)
4.73% gross/AER
20 October 2026
3-year fixed
Issue 9 (previous)
4.45% gross/AER
23 June 2026
3-year fixed
Minimum £100, maximum £100,000 per person for each Issue. The money funds green government projects and is held for the whole
term.
How NS&I savings are taxed
NS&I sets its own rates and does not follow the Bank of England automatically; the
Bank of England base rate page
has the current Bank Rate and the next decision date for comparison.
Premium Bonds prizes are tax-free. NS&I states that prizes are free
from UK Income Tax and Capital Gains Tax.
Other NS&I interest is taxable. Direct Saver, Income Bonds, the
fixed-term Bonds and Green Savings Bonds pay interest with no tax deducted, and NS&I says it counts towards
your Personal Savings Allowance. For the fixed-term Bonds the interest counts in the tax year the Bond matures
(Guaranteed Growth Bonds and Green Savings Bonds) or as you receive it (Guaranteed Income Bonds).
The Personal Savings Allowance for 2026/27 is £1,000 for a basic-rate
taxpayer, £500 for a higher-rate taxpayer and £0 for an additional-rate
taxpayer. Work out your own position with the
tax on savings interest guide.
The NS&I Direct ISA and Junior ISA are tax-free wrappers; see the
ISA allowance guide for the limits.
Frequently asked questions
What is the Premium Bonds prize fund rate?
The annual prize fund rate is 4.35% (variable) from the September 2026 draw, up from 3.80% from the July 2026 draw. Premium Bonds do not pay interest: the rate sets the size of the monthly prize fund.
What are the odds of winning with Premium Bonds?
NS&I gives the odds as 21,000 to 1 for every £1 Bond in each monthly draw from the September 2026 draw (22,000 to 1 before). Every £1 Bond has the same odds, so the more Bonds you hold the more chances you have. The odds, prize values and prize fund rate are all variable.
Are Premium Bonds prizes taxable?
No. NS&I states that any prizes you win are free from UK Income Tax and Capital Gains Tax.
Is NS&I interest taxable?
Yes, except on Premium Bonds. Direct Saver, Income Bonds, Guaranteed Growth Bonds, Guaranteed Income Bonds and Green Savings Bonds pay interest without tax taken off (gross), and NS&I says it counts towards your Personal Savings Allowance. That allowance is £1,000 for a basic-rate taxpayer, £500 for a higher-rate taxpayer and £0 for an additional-rate taxpayer, and the starting rate for savings can add to it on low incomes.
What does gross/AER mean?
Gross is the rate of interest before any Income Tax is deducted, and AER (Annual Equivalent Rate) shows what the annual rate would be if interest were compounded each time it was paid. Where interest is paid once a year, the gross rate and the AER are the same.
Can NS&I change these rates?
Yes. Direct Saver, Income Bonds and Premium Bonds are variable, so NS&I can change them up or down. The fixed-term Bonds are fixed for the whole term you choose, but NS&I replaces the rate on sale with a new Issue each time it changes the rate, and can withdraw an Issue from sale without notice.
How do I check my Premium Bonds results?
Use NS&I's own prize checker on nsandi.com. Prizes are drawn monthly; this page does not check Bond numbers.
