Premium Bonds alert: NS&I increases prize fund rate as savings ‘eroded’ by inflation | Personal Finance | Finance
“These changes have helped us ensure that Premium Bonds remain attractive, while also ensuring that we continue to balance the interests of savers, taxpayers and the broader financial services sector.”
As it stands, inflation in the UK is at 10.1 percent and is expected to remain high for the next couple of months.
Myron Jobson, a senior personal finance analyst at interactive investor, outlined why Premium Bonds may be a worthwhile endeavour as savers see their returns “eroded” by inflation.
Mr Jobson explained: “Even though the odds of winning a prize have improved a smidge, the fact remains that while some savers might be lucky enough to hit the jackpot or win big early on, others may save and wait for long periods for even a small return.
