National Savings and Investments (NS&I) has announced a major overhaul to its line of savings account offering its customers a "new opportunity to save" in the months ahaed.
The Government-back financial institution has launched new issues of its One-year fixed-term Guaranteed Growth Bonds and Guaranteed Income Bonds in a boon for Britain's savers.
These new issues are on sale from today and offer a higher interest rate. Both bonds are available to new customers with existing customers set to see their bonds mature.
As of today (July 24), NS&I's new interest rate on the One-year Growth option is 4.18 per cent gross/AER, and the Income option is 4.11 per cent gross / 4.18 per cent AER.
GETTY / NS&I
|NS& has made a major savings announcement
Andrew Westhead, NS&I Retail Director, said: "I am pleased that we can offer savers – both new, and those with our existing one-year Bonds which are about to mature – this new opportunity to save.
"In launching this new Issue, NS&I continues to balance the interests of its savers, taxpayers and the broader financial services sector – and to work towards its annual Net Financing target."
Guaranteed Growth Bonds and Guaranteed Income Bonds from NS&I are available to savers wanting a guaranteed rate for a fixed-term of one, two, three or five-years period.
It should be noted that the financial institution's customers cannot withdraw any funds early with fixed-term accounts. Furthermore, savers will need a minimum investment of £500 and can invest a maximum of £1million per person in each issue.
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After the fixed-term period of the account, customer will have the opportunity to choose between either withdrawing their cash from bonds or reinvest into a new term.
This latest move from NS&I comes after the bank urged customers to check if they have ny unclaimed Premium Bonds prizes. New figures show that more than £166million was reunited through 52,693 NS&I accounts for holders who had lost touch with their savings, thanks to NS&I’s tracing service and My Lost Account.
Notably, this includes over £120million in Premium Bonds savings and unclaimed prizes, £11.4 million paid out from old Savings Certificates and £1.3 million from old Children’s Bonus Bonds.
So far, NS&I has paid out over 99 per cent of all Premium Bonds prizes to our winners since 1957. However, there are 2,598,139 unclaimed Premium Bonds prizes worth £103,270,175 waiting to be claimed.
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NSI | Premium Bonds holders can check to see if they have won a prize via the Premium Bonds prize checker app Westhead added: "Every pound we reunite is money that rightly belongs to our customers or their families, whether it’s Premium Bonds savings, unclaimed prizes or forgotten accounts.
"These figures are a timely reminder to update your details, talk to your loved ones about your savings and make sure your money stays firmly in your hands, both now and in the future.”
In 2024-25, more than £6.2million from 192,071 previously unclaimed Premium Bonds prizes was paid out to 51,310 Bond holders.
This was through tracing services, customers updating their details or checking for unclaimed prizes.