National Savings
NS&I RATE CHANGE FOR PREMIUM BONDS, DIRECT SAVER AND INCOME BONDS
RATE CHANGE FOR PREMIUM BONDS, DIRECT SAVER AND INCOME BONDS
On 26th November 2024 NS&I announced decreases to the interest rate on Direct Saver and Income Bonds effective from 20th December 2024.
NS&I have also decreased the prize fund rate for Premium Bonds effective from 1st January 2025 prize draw. The odds remain at 22,000 1.
Rate changes
| NS&I account | Previous rate | New rate |
| Premium Bonds | 4.15% (Dec draw) Variable. Annual Prize Rate (tax-free) | 4.00% (Jan draw) Variable. Annual Prize Rate (tax-free) |
| Direct Saver | 3.75% Gross/AER (taxable) | 3.50% Gross/AER (taxable) |
| Income Bonds | 3.69% gross/3.75% AER (taxable) | 3.44% gross/3.49% AER (taxable) |
Find out more at nsandi.com
Definitions
AER (Annual Equivalent Rate) illustrates what the annual rate of interest would be if the interest was compounded each time it was paid. Where interest is paid annually, the quoted rate and the AER are the same.
National Savings and Investments is backed by HM Treasury.