Premium Bond holders will have more chances to win "big-money prizes" from next month.

NS&I announced an additional £39 million will be available in the July Premium Bond prize draw as the fund rate reaches a 15-year high (3.70% up from 3.30%).

The odds of each £1 Premium Bond winning a prize will remain at 24,000 to one, but people will have more chances each month to win prizes worth between £50 and £100,000.

More chance of winning "big-money prizes" in Premium Bonds draws from July

The estimated number of smaller, £25 premium bond prizes will reduce in July.

But the number of "big-money prizes" in the monthly Premium Bonds draws will increase from July 2023.

NS&I estimates:

  • There will be 71 £100,000 prizes in July (up from 63 in June)
  • An estimated 141 £50,000 prizes (up from 125)
  • Around 284 £25,000 prizes (up from 252)

The number of £1 million prizes will remain the same, at two.

NS&I, which is backed by the Treasury, has a duty to balance the interests of savers, taxpayers and the broader financial services sector.

The changes will ensure that NS&I’s products are priced appropriately when compared to the rest of the savings market, the savings giant said.

Echo: More big-money prizes will be available in Premium Bond draws from July 2023.More big-money prizes will be available in Premium Bond draws from July 2023. (Image: PA)

NS&I chief executive Dax Harkins said: “This is now the sixth prize fund rate increase for Premium Bonds in just over a year, making it the highest it’s been in over 15 years.

“With the changes, we’re expecting to pay out more than £374 million to winners in July with more higher-value prizes, meaning that, each month, more lives will be changed by Premium Bonds.”

Head of personal finance at AJ Bell, Laura Suter, added: “Just a year ago the Premium Bond prize fund effective rate was sitting at 1%, and this marks the sixth time NS&I has hiked the prize fund in the past year.

“Once again, the chances of winning a prize haven’t changed, and remain at 24,000 to one, but instead you’re more likely to win a bigger prize if you do win."