Premium Bonds When Moving Abroad: Complete Expat Guide
Moving abroad doesn't necessarily mean saying goodbye to your Premium Bonds. Whether you're relocating for work, retiring to sunnier climes, or emigrating permanently, here's everything you need to know about keeping, managing, and cashing in your bonds from overseas.
Who Can Keep Premium Bonds While Living Abroad?
Premium Bonds eligibility depends on your nationality, not your residence. You can hold Premium Bonds while living anywhere in the world if you are:
- A British citizen (including British Overseas citizens)
- An Irish citizen
- A Crown Servant serving overseas (diplomatic, military, etc.)
- The spouse or civil partner of an eligible Crown Servant
If you don't fall into these categories β for example, if you're an EU citizen who was living in the UK but moving back to your home country β you must cash in your Premium Bonds within 12 months of leaving the UK.
β οΈ Important: Non-British Citizens
If you're not a British or Irish citizen and you move abroad, your Premium Bonds will continue entering the monthly draws for up to 12 months. However, you must cash them in before that deadline. After 12 months, NS&I may automatically cash them in and send the proceeds to your registered UK bank account.
The UK Bank Account Requirement
Regardless of where you live, NS&I can only pay Premium Bonds prizes into a UK bank or building society account. This is non-negotiable and catches many expats off guard.
Your Options
- Keep a UK bank account open: Many expats maintain a basic UK current account specifically for Premium Bonds prizes and other UK financial matters. Online banks like Monzo, Starling, and Revolut (UK) are popular choices as they don't require a UK address.
- Use a family member's account: NS&I allows you to nominate someone else's UK bank account for prize payments, though the account holder must consent and the prizes technically become a gift to you.
- Set up prize reinvestment: Instead of receiving prize money, you can automatically reinvest all winnings into more Premium Bonds (up to the Β£50,000 limit). This avoids the bank account issue entirely while you're abroad.
π‘ Pro Tip: Reinvestment
If you're planning to be abroad for several years, consider setting your prizes to reinvest automatically. This compounds your holdings without needing to manage UK bank transfers. When you eventually return or cash out, your holding will have grown tax-free.
Tax Implications Abroad
Premium Bonds prizes are completely tax-free in the UK β you don't need to declare them or pay any Income Tax or Capital Gains Tax. However, this doesn't necessarily apply in your country of residence.
Common Scenarios
πΊπΈ United States
The US taxes its citizens and residents on worldwide income. Premium Bonds prizes are considered "gambling winnings" or "foreign lottery winnings" by the IRS and must be reported on your tax return. They're taxed as ordinary income at your marginal rate. The UK-US tax treaty doesn't exempt these winnings.
πͺπΊ EU Countries
Treatment varies by country. Some EU nations (like France and Spain) tax foreign lottery and prize winnings as income. Others (like Germany) may exempt them under certain conditions. Check with a local tax advisor.
π¦πΊ Australia
Australia generally doesn't tax gambling or lottery winnings, including foreign prizes. However, if the ATO considers you to be operating a business (professional gambling), different rules may apply. For most expats, Premium Bonds prizes are not taxable.
π¦πͺ UAE / πΈπ¬ Singapore
Countries with no income tax don't tax Premium Bonds prizes. However, if you maintain UK tax residency or spend significant time in the UK, you may still have UK reporting obligations.
The key principle is that you're typically taxed in your country of tax residence, not the country where the income originates. Always consult a tax advisor familiar with both UK and local tax laws before moving.
Before You Move: Checklist
β Actions to Take Before Leaving the UK
- Update your address: Log into your NS&I account and update to your new overseas address. Prize notifications will be sent to this address.
- Confirm your nationality: NS&I may ask you to confirm your eligibility to continue holding bonds as a non-UK resident.
- Set up BACS payments: Ensure prizes go to a UK bank account you'll maintain, or switch to reinvestment.
- Download your holder's number: Keep a record of your holder's number somewhere accessible from abroad β you'll need it to check prizes and manage your account.
- Check local tax rules: Understand whether prizes will be taxable in your destination country.
- Inform your UK bank: Let them know you're moving abroad to avoid account freezes when they detect foreign logins.
Managing Your Bonds From Abroad
Once you're overseas, you can manage your Premium Bonds in largely the same way as UK residents:
What You Can Do Online
- Check prizes each month
- View your current holding and bond numbers
- Buy more bonds (with a UK bank account)
- Cash in bonds (to a UK bank account)
- Update your address and contact details
- Switch between prize payment and reinvestment
What Requires Phone or Post
- Changing the nominated bank account to a different person
- Reporting complex eligibility situations
- Dealing with deceased bondholder estates
The NS&I website and app work from anywhere in the world. Phone support (08085 007 007) is available from overseas, though you'll pay international call rates β consider using Skype or a similar service to call UK numbers.
Checking Prizes From Abroad
Prize checking works exactly the same from overseas. You can use:
- The NS&I website or app (works globally)
- Our Prize Checker (no login required)
- Alexa (if you have an Alexa device configured for UK)
Remember that draw results are released at midnight UK time on the first working day of each month. Depending on your timezone, this might be the previous day or early morning for you.
Returning to the UK
If you return to the UK, simply update your address with NS&I. There's no special process or re-registration required. Your bonds have been entering draws the entire time you were away, and you can resume normal management immediately.
If you were ineligible to hold bonds while abroad (non-British citizen) but later acquire British citizenship or permanent residence, you cannot retroactively keep bonds that should have been cashed in. You would need to purchase new bonds.
Cashing In From Abroad
If you decide to cash in your Premium Bonds while overseas β either because you're ineligible to keep them or simply want the money β the process is straightforward:
- Log into your NS&I account online
- Select "Cash in" and choose the amount (minimum Β£25)
- Confirm your UK bank account details
- Submit the request
The cash should arrive in your UK bank account within 3 working days. From there, you can transfer it internationally using your bank's transfer service or a specialist like Wise (formerly TransferWise).
π‘ Currency Tip
If you need to convert your Premium Bonds proceeds into another currency, compare exchange rates carefully. High-street banks often charge significant margins. Services like Wise, Revolut, or OFX typically offer better rates for international transfers.
Frequently Asked Questions
Can I open a new NS&I account from abroad?
If you're a British or Irish citizen, yes. You can open an NS&I account and buy Premium Bonds from anywhere in the world, provided you have a UK bank account for prize payments. Non-citizens cannot open new accounts from overseas.
What if I become a dual citizen?
If you acquire British citizenship while abroad, you become eligible to hold Premium Bonds indefinitely. Update NS&I with your new nationality status. If you were previously ineligible and your bonds were cashed in, you can buy new ones.
Can I buy Premium Bonds for my children while abroad?
Yes, if both you and the child are eligible (British/Irish citizens). You'll need a UK bank account for any prizes, and a UK-registered parent or guardian must be nominated to manage the child's account.
Do Premium Bonds affect my UK tax residency status?
No. Holding UK assets like Premium Bonds doesn't affect your tax residency status. Tax residency is determined by factors like days spent in the UK, available accommodation, and work patterns β not by holding savings products.
What happens if I die while living abroad?
The same rules apply as for UK residents. Premium Bonds continue entering draws for up to 12 months after death. Your executor can claim the bond value plus any unclaimed prizes, though they may need to navigate both UK and local probate requirements.
Check Your Bonds From Anywhere
Our Prize Checker works worldwide with no login required. Just enter your holder's number to see if you've won.
Disclaimer: This article provides general guidance about Premium Bonds for UK expats. Tax treatment varies significantly by country β always consult a qualified tax advisor familiar with both UK and local tax laws before making decisions. Information accurate as of February 2026. Not affiliated with NS&I.