NS&I has raised the rates on its British Savings Bonds across all four fixed terms, taking the two-, three- and five-year options above 5%.
The five-year Guaranteed Growth Bond rose by 0.32 percentage points, from 4.85% to 5.17% gross/AER, where gross means before tax and AER (annual equivalent rate) shows what the interest would amount to over a year, including compounding.
According to Rachel Springall, finance expert at Moneyfactscompare, the increases reflect "the wider uplift in savings rates and expectations surrounding future interest rate decisions".
Yet the new rates do not reach the top of the market, Springall noted, as savers "will find rates higher elsewhere, as all these newly priced bonds from NS&I sit outside of the top-rate tables".
Alongside locking away hard-earned cash, Springall reminded savers to keep an accessible pot of money aside for emergencies, adding that "attractive deals don't always last for long, particularly if a provider attracts enough deposits and pulls a product from sale".
NS&I offers two versions of each bond. The Guaranteed Income Bonds pay interest monthly, while the Guaranteed Growth Bonds pay it at the end of the term. Money cannot be withdrawn before the fixed term ends.
British Savings Bonds new interest rate product summary
| Product | Previous interest rate (from 18 August 2026) | Product | New interest rate from 6 October 2026 (on general sale) |
| Guaranteed Growth Bonds 1-year (Issue 92) | 4.82% gross/AER | Guaranteed Growth Bonds 1-year (Issue 93) | 4.99% gross/AER |
| Guaranteed Income Bonds 1-year (Issue 92) | 4.72% gross/4.82% AER | Guaranteed Income Bonds 1-year (Issue 93) | 4.88% gross/4.99% AER |
| Guaranteed Growth Bonds 2-year (Issue 80) | 4.81% gross/AER | Guaranteed Growth Bonds 2-year (Issue 81) | 5.07% gross/AER |
| Guaranteed Income Bonds 2-year (Issue 80) | 4.71% gross/4.81% AER | Guaranteed Income Bonds 2-year (Issue 81) | 4.96% gross/5.07% AER |
| Guaranteed Growth Bonds 3-year (Issue 82) | 4.83% gross/AER | Guaranteed Growth Bonds 3-year (Issue 83) | 5.10% gross/AER |
| Guaranteed Income Bonds 3-year (Issue 82) | 4.73% gross/4.83% AER | Guaranteed Income Bonds 3-year (Issue 83) | 4.99% gross/5.10% AER |
| Guaranteed Growth Bonds 5-year (Issue 74) | 4.85% gross/AER | Guaranteed Growth Bonds 5-year (Issue 75) | 5.17% gross/AER |
| Guaranteed Income Bonds 5-year (Issue 74) | 4.75% gross/4.85% AER | Guaranteed Income Bonds 5-year (Issue 75) |
Source: NS&I