National Savings

NS&I

NS&I PREMIUM BONDS

CHANGES TO DISTRIBUTION OF PRIZES

On 19 November 2008 we announced changes to the Premium Bonds prize fund interest rate, odds of winning and the percentage shares of the prize fund allocated to each prize value band. These changes came into effect on 1 December 2008. The interest rate is now 1.80% pa and the odds of each £1 Bond number winning a prize are 36,000 to 1.

The following table is to show our customers how the changes have affected the distribution and number of prizes in the December 2008 prize draw.

Prize band	Prize value	Number of prizes for December 2008
Higher value 4% of prize fund	£1 million £100,000 £50,000 £25,000 £10,000 £5,000	2 1 1 2 5 13
Medium value 1% of prize fund	£1,000 £500	232 696
Lower value 95% of prize fund	£100 £50	28,868 1,042,868
Total value for December 2008	£57.9 million	1,072,688

All prizes are free of UK Income Tax and Capital Gains Tax.

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

National Savings and Investments is backed by HM Treasury.