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Falling chances of winning a Premium Bonds prize

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Falling chances of winning a Premium Bonds prize

National Savings & Investments (NS&I) has announced that the chances of winning Premium Bonds prizes are about to go down.

The odds of each £1 bond being picked in the monthly draw will go from 22,000 to 1 at present, to 23,000 to 1 from April 2026. That means, if you own a Premium Bond, your chances of getting a payout will drop.

Alongside this, the average return Premium Bonds pay is being reduced from 3.60% to 3.30%, meaning the typical amount won in prizes will be lower.

NS&I says the changes reflect what’s happening in the wider savings market and are designed to balance the interests of savers and taxpayers.

Premium Bonds remain backed by the Government, so your money is secure and there’s still a (small) chance of a big win. However, with many easy-access savings accounts now paying over 4%, those who prefer steady, guaranteed interest could earn more elsewhere.

For those with smaller holdings in Premium Bonds, there’s also a warning that you might end up not winning anything at all, so now is a good time to review whether your money could work harder elsewhere, such as in a Cash ISA or Stocks and Shares ISA. We’ve got advice on how to get started with these two products in our free guides:

A Simple Guide to Cash ISAs
A Simple Guide to Stocks and Shares ISAs

Clare West
Clare West Finance Editor

As a finance writer and editor, I can’t make decisions for you because only you know what’s right for you, and your personal priorities and goals. My role is to understand the things that are going to be important to you, remove anything that could work as a barrier to understanding, and then ensure you don’t miss a thing.

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Finances are about so much more than numbers on a page. Achieving your financial goals allows you to feel peace of mind, have confidence in your future, and achieve the things that matter to you. Financial wellbeing allows for life goal fulfilment.

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