Expected Returns
Calculate median expected returns based on current 3.6% prize fund rate and your investment amount
Win Probabilities
Understand your chances of winning prizes each month with detailed statistical analysis
Prize Breakdown
See expected frequency of different prize amounts from £25 to £1 million
Interest Equivalent
Compare your expected Premium Bonds returns against traditional savings accounts
What Are Premium Bonds?
Premium Bonds are a savings product from NS&I (National Savings and Investments), backed by HM Treasury. Instead of paying guaranteed interest, Premium Bonds enter you into a monthly prize draw where you could win between £25 and £1 million - completely tax-free.
Key Features:
- Minimum Investment: £25
- Maximum Investment: £50,000
- Prize Range: £25 to £1,000,000
- Current Prize Fund Rate: 3.6%
- Odds: 1 in 22,000 per £1 bond per month
- Tax Status: All prizes are tax-free
How the Prize Draw Works
Each £1 bond you hold has a unique number and is entered into the monthly prize draw. ERNIE (Electronic Random Number Indicator Equipment) generates random numbers to select winning bonds. The more bonds you have, the better your chances - but there's no guarantee you'll win.
Expected Returns vs. Savings Accounts
While Premium Bonds offer the excitement of potential large prizes, the statistically expected return (median) is typically lower than the advertised prize fund rate. Our calculator helps you understand your realistic expected returns based on your investment amount.