NS&I Boosts Interest Rates in Key Savings Update
Filmogaz.com reports that National Savings and Investments has relaunched its Green Savings Bonds. The latest issue carries a higher fixed return than the previous offering.
Offer details
This is the eighth issue of the bonds, first launched in 2021. The new rate is 3.82 per cent AER, up from 2.95 per cent on the prior issue.
Savers can invest between £100 and £100,000 per person in each issue. The minimum age to apply is 16.
| Feature | Detail |
|---|---|
| Interest rate (current) | 3.82% AER |
| Interest rate (previous) | 2.95% AER |
| Term | 3 years, no early access |
| Investment range | £100 to £100,000 per person |
| Protection | 100% Treasury backing |
Purpose and security
Proceeds support government-backed green projects. Funds work alongside gilts under the UK Government Green Financing Framework.
The framework was expanded in November 2025 to include nuclear energy projects. All deposits remain fully protected by Treasury backing.
Market context and rivals
NS&I Boosts Interest Rates have attracted attention from cautious savers. This is a key savings update for those weighing safety versus return.
Experts note higher returns are available elsewhere. Rachel Springall of Moneyfactscompare.co.uk said the bonds suit savers with large balances who value security.
- Tandem Bank three-year fixed at 4.56% AER.
- Some top deals currently pay 4.50% or more.
- Castle Trust Bank and Gatehouse Bank offer higher rates without Treasury backing.
How the product fits different savers
The bonds appeal to risk-averse savers who accept a three-year lock. They suit those who prioritize capital protection over the highest market rate.
Others may choose higher-yield alternatives if they can accept different security terms. The choice depends on individual priorities.
Operational issues and response
NS&I serves more than 24 million customers across the UK. The provider recently faced criticism over tracing accounts of some deceased customers.
NS&I notified the Treasury in December about the operational failure. The organisation apologised and said the problem has been resolved for current and new bereavement claims.
It also confirmed new measures to prevent similar failures. The provider said it has strengthened processes and controls.
