Reduced interest rates for selected variable NS&I products
- Reduced interest rates for Direct Saver and Income Bonds from 12 February 2026
- First interest rate change for these accounts since March 2025
From Thursday 12 February, NS&I will be reducing the interest rates for its Direct Saver and Income Bonds products.
The new rate for Direct Saver will be 3.05% gross/AER, and for Income Bonds, the new rate will be 3.01% gross/3.05% AER.
Direct Saver and Income Bonds are easy access, variable savings accounts. This is the first change to the interest rates on these accounts since 5 March 2025. Today’s changes reflect changes in the wider savings market.
Andrew Westhead, NS&I Retail Director, said:“We keep all our savings rates under review as market conditions change.
“Today’s changes will help us meet our Net Financing target whilst continuing to balance the interests of our savers, taxpayers and the wider financial services sector.”
Variable rate savings products
| Product | Previous interest rate(from 5 March 2025) | New interest rate from 12 February 2026(on general sale) |
| Direct Saver | 3.30% gross/AER | 3.05% gross/AER |
| Income Bonds | 3.26% gross/3.30% AER | 3.01% gross/3.05% 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.
- 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 £13 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.