National Savings

2008-11-012008-10-072008-10-10TSO (The Stationery Office), St Crispins, Duke Street, Norwich, NR3 1PD, 01603 622211, customer.services@tso.co.uk70221402/281402/28

National Savings and Investments

Interest Rates

Variable gross rates* Current Current New New
Rate pa AER** Rate pa AER
Income Bonds £25,000+ 4.70% 4.80% 4.50% 4.59%
New rates from 7 October 2008 Under £25,000 4.45% 4.54% 4.25% 4.33%
Investment Account £50,000+ 4.10% 4.10% 3.90% 3.90%
New rates from 7 October 2008 £25,000+ 3.75% 3.75% 3.55% 3.55%
£10,000+ 3.55% 3.55% 3.35% 3.35%
£5,000+ 3.35% 3.35% 3.15% 3.15%
£500+ 3.25% 3.25% 3.05% 3.05%
Under £500 3.20% 3.20% 3.00% 3.00%
Easy Access
Savings Account £50,000+ 4.40% 4.40% 4.20% 4.20%
New rates from 7 October 2008 £25,000+ 4.15% 4.15% 3.95% 3.95%
£10,000+ 3.90% 3.90% 3.70% 3.70%
£5,000+ 3.65% 3.65% 3.45% 3.45%
£1,000+ 3.35% 3.35% 3.15% 3.15%
£100-£999 1.85% 1.85% 1.65% 1.65%
Variable tax-free rates*** Current Current New New
Rate pa AER** Rate pa AER**
Cash ISA
New rate from 7 October 2008 4.60% 4.60% 4.40% 4.40%

T Cash ISA† (Formerly Tessa-only ISA)

New rate from 7 October 2008 4.60% 4.60% 4.40% 4.40%
Current prize New prize
fund rate pa fund rate pa
Premium Bonds
from 1 November 2008 3.40% 3.25%

Annual variable rate used to calculate the prize fund for monthly draws. The odds of each £1 Bond number winning a prize in the monthly draw will be 22,000-1 (currently 21,000-1).

* Gross is the taxable rate of interest payable without the deduction of UK Income Tax.
** AER (Annual Equivalent Rate) enables you to compare interest rates from different financial institutions 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.
*** Tax-free means that the return is exempt from UK Income Tax and Capital Gains Tax.
No longer on sale.

National Savings and Investments is a Trade Mark of the Director of Savings.

If you would like further information on our savings and investments please call 0845 964 5000 (maximum call charges from a BT landline are 4p per minute. Charges from other service providers may vary. Lines open 7 a.m. to midnight. For your security and to maintain the highest levels of service, calls may be recorded). Or visit our website at nsandi.com

National Savings and Investments is backed by HM Treasury