National Savings
NATIONAL SAVINGS AND INVESTMENTS FIXED RATE SAVINGS BONDS—NEW ISSUES
New Issues of Fixed Rate Savings Bonds went on sale on 20 May 2004 as shown in the table below. The rate of interest earned by a Bond will be determined by its capital value at any time—the original investment plus any interest added to the Bond less any repayments. The rate is determined by whether the interest is paid monthly or at maturity. Interest is paid net of tax.
| Gross Annual Rates | |||
| Term | Capital value of Bond | Monthly interest option | Annual interest option |
| 1-year | £500 to £19,999.99 | 3.95% | 4.05% |
| Issue 26 | £20,000 to £49,999.99 | 4.10% | 4.20% |
| £50,000 and above | 4.30% | 4.40% | |
| 3-year | £500 to £19,999.99 | 4.30% | 4.40% |
| Issue 20 | £20,000 to £49,999.99 | 4.45% | 4.55% |
| £50,000 and above | 4.65% | 4.75% | |
| 5-year | £500 to £19,999.99 | 4.40% | 4.50% |
| Issue 18 | £20,000 to £49,999.99 | 4.55% | 4.65% |
| £50,000 and above | 4.75% | 4.85% |
NATIONAL SAVINGS AND INVESTMENTS PENSIONERS GUARANTEED INCOME BONDS 1-YEAR TERM—NEW SERIES
Series 24 1-year Pensioners Guaranteed Income Bonds went on sale on 20 May 2004. The interst rate, fixed and guaranteed for the first year a Bond is held, is 4.25% pa gross. The interest is paid gross and is taxable.
NATIONAL SAVINGS AND INVESTMENTS PENSIONERS GUARANTEED INCOME BONDS 2-YEAR TERM—NEW SERIES
Series 30 2-year Pensioners Guaranteed Income Bonds went on sale on 20 May 2004. The interst rate, fixed and guaranteed for the first two years a Bond is held, is 4.45% pa gross. The interest is paid gross and is taxable.
NATIONAL SAVINGS AND INVESTMENTS PENSIONERS GUARANTEED INCOME BONDS 5-YEAR TERM—NEW SERIES
Series 39 5-year Pensioners Guaranteed Income Bonds went on sale on 20 May 2004. The interest rate, fixed and guaranteed for the first five years a Bond is held, is 4.70% pa gross. The interest is paid gross and is taxable.
NATIONAL SAVINGS AND INVESTMENTS EASY ACCESS SAVINGS ACCOUNTS—NOTICE OF NEW INTEREST RATES
On and from 1 June 2004 the variable gross rates of interest payable on Easy Access Savings Accounts will be as follows:
| Balance in Account Bond | Rate of interest |
| £100 to £999.99 | 1.50% pa |
| £1,000 to £4,999.99 | 3.00% pa |
| £5,000 to £9,999.99 | 3.30% pa |
| £10,000 to £24,999.99 | 3.55% pa |
| £25,000 to £49,999.99 | 3.80% pa |
| £50,000 and above | 4.05% pa |
NATIONAL SAVINGS AND INVESTMENTS INDIVIDUAL SAVINGS ACCOUNTS—NOTICE OF NEW INTEREST RATES
On and from 1 June 2004 the variable tax-free rate of interest payable on Individual Savings Accounts (cash mini and TESSA-only accounts) will be 3.95% pa.
NATIONAL SAVINGS AND INVESTMENTS ORDINARY ACCOUNTS—NOTICE OF NEW INTEREST RATES
On and from 1 June 2004 the variable rate of interest payable on Ordinary Accounts will be as follows:
| Standard rate | 0.60% pa |
| Higher rate | 0.70% pa |
NATIONAL SAVINGS AND INVESTMENTS ACCOUNTS—NOTICE OF NEW INTEREST RATES
On and from 1 June 2004 the variable gross rates of interest payable on Investment Accounts will be as follows:
| Balance in Account | Rate of interest |
| up to £499.99 | 2.75% pa |
| £500 to £4,999.99 | 2.80% pa |
| £5,000 to £9,999.99 | 2.90% pa |
| £10,000 to £24,999.99 | 3.10% pa |
| £25,000 to £49,999.99 | 3.30% pa |
| £50,000 and above | 3.65% pa |
NATIONAL SAVINGS AND INVESTMENTS TREASURER’S ACCOUNTS—NOTICE OF NEW INTEREST RATES
On and from 1 June 2004 the variable gross rates of interest payable on Treasurer’s Accounts will be as follows:
| £10,000 to £24,999.99 | 3.10% pa |
| £25,000 to £99,999.99 | 3.30% pa |
| £100,000 and above | 3.65% pa |
NATIONAL SAVINGS AND INVESTMENTS—NEW GENERAL EXTENSION RATE
On and from 1 June 2004 the variable rate of interest for National Savings Certificates (including Yearly Plan Certificates) earning the General Extension Rate will be 1.80% pa tax-free.
NATIONAL SAVINGS AND INVESTMENTS INCOME BONDS—NOTICE OF NEW INTEREST RATE
On and from 1 July 2004 the variable “Treasury Rate” of interest payable on Income Bonds will be 3.70% pa gross. The bonus rate for bonds held under the same register number with a total capital value of at least £25,000 will be 0.25% pa gross. The interest is paid gross and is taxable.
PREMIUM SAVINGS BONDS—NOTICE OF NEW INTEREST RATE AND CHANGE TO SCALE OF PRIZES
On and from 1 September 2004 the rate of interest specified for determining the amount of the prize fund will be 2.80% pa. In respect of each prize draw there will be one prize for every 24,000 bond units eligible for inclusion in the draw. Issued by National Savings and Investments on behalf of the Treasury. (1008)