Premium Bonds winners have been announced for the December draw, including the two £1million jackpot winners.
The first £1million winner is from Kent with winning Bond number 405PY086681, which they purchased in July 2020, when they bought £49,950 worth. They previously held the maximum holding amount of £50,000.
The second jackpot winner is from Cumbria, thanks to lucky Bond number 405PY086681, which they bought in April 2023 when they purchased £10,000 in Bonds. They previously held a total of £33,275.
Bond holders have a lesser chance of winning from the December draw, as the prize fund rate has fallen from 4.4 percent to 4.1 percent. The odds of winning have fallen from 21,000 to one to 22,000 to one.
The prize fund rate is dropping again in the January draw, down to four percent.
Each £1 Bond has an equal chance of being paired with a prize. There were several big prize winners who previously had low holdings, including a person from Barnet who won £50,000 despite holding just £370 in Bonds.
One saver from Devon, who had just £119 in Bonds that they purchased 20 years ago in September 2004, won a £25,000 prize.
Another person from Hertfordshire who had just £100 in Bonds took home £25,000 while one lucky winner from the West Midlands won £10,000, despite previously having just £30 in Bonds, which they bought in October 1987.
Customers often set up their account so any winnings are automatically used to buy more Bonds. The smallest prize value is for £25.
In announcing the second rate cut for January, Andrew Westhead, NS&I retail director, said: “These adjustments help us meet our Net Financing target while balancing the interests of our savers, taxpayers and the wider financial services sector.
“Premium Bonds remain a popular choice for millions of savers, backed by the 100 percent Government guarantee, with the January 2025 draw set to deliver over 5.8 million tax-free prizes worth more than £431million.”
Savers have been urged to think through of the savings scheme is really for them as the fund rate is cut for a second time.
Sarah Coles, head of personal finance at Hargreaves Lansdown, warned: “If you hold the Bonds, you need to be absolutely certain you understand how they work, and that despite a prize rate of 4 percent, in an average month, the average bond holder with £1,000 in bonds will earn nothing.
“In the interim, the slight resurgence of inflation means your money will be losing more spending power. If you’re happy with this trade-off, you may choose to stay put.
“However, if you want to switch, there are still plenty of decent rates on offer in the easy access savings market.”
