People investment planning in Oswestry or Cheshire may be wondering if Premium Bonds offer a reliable return. Over 6 million tax-free prizes were paid out in February 2026 but how easy is it to benefit from NS&I’s monthly prize draw?
A recent Freedom of Information request found that the bulk of prizes go to people with the highest amounts held in Premium Bonds. Between February 2025 and January 2026, just 6% went to those holding £10,000 or under, and barely 1% to those holding under £1,000. Figures show that the average Premium Bonds amount is £5,406, whereas the typical figure for prize winners over the last 12 months was £23,397.
Under current rules, savers are eligible to invest no more than £50,000 in the Government-backed savings account. With each Premium Bond valued at £1, the more money you put into Premium Bonds the higher your prize-winning prospects.
Detailed analysis of the data has found that 62.5% of winners in the last 12 draws held the maximum amount of £50,000. From April, the Premium Bonds prize fund rate drops from 3.6% to 3.3%. With the NS&I saying it is lengthening the odds for each £1 bond, the chances of winning a prize will rise to 23,000 to one, from the existing 22,000 to one.
Premium Bonds will continue to appeal to different groups, such as people who have maxed out their Isa, or those who are inherently cautious. Yet those eyeing up Premium Bonds will need to consider whether their sentimental attachment to this prize fund stands up against diminishing returns, and at a time when cash Isas or individual savings accounts often offer more attractive rates.
