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NS&I raises interest rates above five per cent on fixed-term bonds in a boost for British savers

From the Newshound archive · first published 7 October 2026.

NS&I's highest-paying British Savings Bond now offers 5.17%, earning a saver with £20,000 roughly £1,021 over a one-year fix.
NS&I's highest-paying British Savings Bond now offers 5.17%, earning a saver with £20,000 roughly £1,021 over a one-year fix.

NS&I has raised rates across its full range of British Savings Bonds, with savers now able to lock in returns of between 4.99% and 5.17% depending on how long they are willing to fix. The new deals went on sale on Tuesday and are open to both new and existing customers whose bonds are maturing. Retail Director Andrew Westhead said the increases respond to shifts in the wider savings market.

The highest rate — 5.17% AER — is on the five-year Growth Bond, which pays interest at maturity.

One-year bonds pay 4.99%, two-year 5.07% and three-year 5.10%, with monthly income options also available.

Commentators suggest further rate improvements may follow as NS&I weighs up what is fair for savers, taxpayers and the broader financial sector.

MoreDaily MailNS&I launches a 5.17% savings deal... and there's even better to come: SYLVIA MORRISThe TimesNS&I now paying more than 5% interestGB NewsNS&I raises interest rates above five per cent in boost for savers
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