- New 1-year fixed-term British Savings Bonds on sale
- 1-year Guaranteed Growth Bonds 4.18% gross/AER
- 1-year Guaranteed Income Bonds 4.11% gross/4.18% AER
New Issues of NS&I's 1-year fixed-term Guaranteed Growth Bonds and Guaranteed Income Bonds have gone on sale today at a higher interest rate.
British Savings Bonds are fixed-term Issues of NS&I's Guaranteed Growth Bonds and Guaranteed Income Bonds. They are available to new customers, and those with existing Bonds which are due to mature. The new interest rate on the 1-year Growth option is 4.18% gross/AER, and the Income option is 4.11% gross / 4.18% AER.
Andrew Westhead, NS&I Retail Director, said: "I am pleased that we can offer savers – both new, and those with our existing 1-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 are available to customers wanting a guaranteed rate for a fixed-term of 1, 2, 3 or 5 years. Funds cannot be withdrawn early with fixed-term accounts. Savers will need a minimum investment of £500 and can invest a maximum of £1 million per person in each Issue. After the fixed-term period, savers will have the choice to withdraw their cash or reinvest into a new term.
| Product | Previous interest rate (from 15 April 2025) | New interest rate from 24 July 2025 (on general sale) |
|---|---|---|
| Guaranteed Growth Bonds 1-year (Issue 85) | 4.05% gross/AER | 4.18% gross/AER |
| Guaranteed Income Bonds 1-year (Issue 85) | 3.98% gross/4.05% AER | 4.11% gross/4.18% AER |
Notes to Editors
- NS&I is one of the largest savings organisations in the UK, offering a range of savings and investments to more than 24 million customers. All products offer 100% capital security as NS&I is backed by HM Treasury.
- AER stands for Annual Equivalent Rate and enables the comparison of interest rates from different financial institutions and across different products on a like-for-like basis. It shows what the notional annual rate would be if interest was compounded each time it was credited or paid out. Where interest is credited once a year, the rate quoted and the AER will be the same.
- Guaranteed Growth Bonds are a lump sum investment that earns a fixed rate of interest over a set period of time (called 'investment term'). Guaranteed Growth Bonds are designed to be held for the full term. Interest is calculated daily and is added to the Bond on each anniversary of the investment.
- Guaranteed Income Bonds are a lump sum investment that pays out monthly income at a fixed rate of interest over a set period of time (called 'investment term'). Interest is calculated daily and is paid into the customer's nominated bank account.
- Net Financing is the measure of the net change of NS&I funds, meaning total inflows from deposits, retention of maturing monies and capitalised accrued interest, less the total outflows from withdrawals and interest or Premium Bonds prize draw payments. A positive Net Financing figure represents a positive contribution to government financing.
- The Net Financing target for 2025-26 is £12 billion (+/- £4 billion).
- Information on NS&I's on sale products can be found here.
- NS&I photography and logos are available to download here.
For further information, please contact the NS&I media team:
Jonty Alone jonty.alone@nsandi.com
Matt Stocks matthew.stocks@nsandi.com
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Website: nsandi.com
Media website: nsandi-corporate.com