The increase will see the prize fund rate at the highest it’s been in 15 years.
Premium Bondholders will have more chances to win prizes worth £50 to £100,000 after NS&I announced today it would be increasing its Premium Bond prize fund rate to 3.70%. According to NS&I, this is the highest the prize fund rate has been in 15 years and will mark the sixth time the rate has been increased in just over a year.
“With the changes, we’re expecting to pay out more than £374 million to winners in July with more higher value prizes, meaning that, each month, more lives will be changed by Premium Bonds,” said Dax Harkins, NS&I Chief Executive.
The increase comes into effect from the July prize draw and will see an additional £39 million in prizes available to be won.
Although the prize fund rate is rising from 3.30% to 3.70%, this won’t increase your odds of winning. Instead, these odds will remain at 24,000 to one for every £1 of Premium Bonds purchased.
The increase means that for every £100 of Premium Bonds bought, NS&I will pay out £3.70 in prizes as of July. Currently, it pays out £3.30 for every £100 of Premium Bonds.
This depends on your appetite for risk. So if you want to find out more, read our guide on Premium Bonds.
NS&I also announced it will be increasing the rate paid by its Junior ISA to 3.65% AER with immediate effect. While this falls short of the market-leading rate of 4.30% AER, it’s one of only two Junior ISAs on our charts that can be both opened and managed online.
Last updated: 09/02/2024
Account: Junior ISA
Notice/Term: Age 18
Rate: 3.65% AER
Transfers In: Cash JISA, Stocks and Shares JISA, Child Trust Fund
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