NS&I finds Brits not serious about saving until 25

Fri, 12 Mar 2010 16:17:05 GMT

The latest NS&I (National Savings and Investments) survey release has shown that the average age for Britons to start saving seriously is 25 years-old. More than a fifth (22%) of the population said they didn't start setting money aside in earnest until they were past their 30th birthday, while more than 13% fail to seriously save until they are 40 years or older. 15% confessed that they had actually never saved at all.

The NS&I study into savings habits also explored what kick starts savings behaviour. Surprisingly, holidays and other short-term outgoings get most women (67%) in Britain saving, with planning for the future a secondary thought. In contrast, more men (60%) think about longer-term events, such as saving for their wedding, starting a family or buying a house.

Additionally, reading stories about how others, without savings, have suffered in an emergency encouraged a third of Britons to start saving for the first time (33%), with a similar number (31%) confessing that it was when they suffered a financial shock personally that they began their savings habit and 39% citied they saw their parents worrying about money and wanted to save to have peace of mind. 14% said they began saving to pay for further education.

As well as looking at what makes people start setting money aside, the research looked into how life experiences affect attitudes to saving. Almost a quarter (24%) wished that they had saved more in the last 18 months' to deal with the recent economic turbulence and 32% wished they had started saving much earlier in life than they did.

John Prout, NS&I's savings spokesperson, explained: "It's great to see that most Britons started to save seriously in their mid-twenties. And for those who have not yet developed the habit it is not too late to start. However it is important to not just see savings as a reaction to major events. Our research shows that 32% of savers say that they have saved in the past but have not managed to continue putting money away."

With the end of the tax year approaching, NS&I is urging people to use the opportunity to take a fresh look at their finances and learn from their past regrets. John Prout continued; "We're urging Britons to review their future financial needs and to develop the habit of saving."

ENDS

Notes to Editors
*The survey, which questioned people about their financial habits, was carried about by TNS in January 2010 among 1004 GB adults aged 16+.

About NS&I
NS&I is one of the UK's largest financial providers with almost 27 million customers and over £95 billion invested. It is best known for Premium Bonds, but also offers Inflation-Beating Savings accounts, ISA and Cash ISA accounts, Guaranteed Equity Bonds and Children's Bonus Bonds in its range. All products offer 100% security, because NS&I is backed by HM Treasury.

NS&I products are available over the telephone, internet, post and by standing order. They are also available through a network of Post Office(R) branches, and our product range guide is available in over 400 WHSmith high street stores.

NS&I reports savings levels drop this winter

Fri, 12 Mar 2010 11:52:13 GMT

NS&I's Savings latest survey has found that this winter, the amount of money the population is saving has decreased to its lowest level for over two years. On average, the British public is now setting aside 6.25% of their monthly take-home income. This figure has fallen consistently since this time last year (6.48%), and is at its lowest level since summer 2007 (6.22%).

In pounds, average savings have fallen from £90.12 twelve months ago, winter 2008/09, to £81.94. In addition the average income has fallen to £1310, from £1384 last quarter and at its lowest level since Spring 2008 (£1306).

Examining savings attitudes across the country, savers in East Anglia and the West Midlands recorded positive savings behaviour, managing to set aside more money as a percentage of their income than other areas. East Anglian savers were highest at 7.77% (6.01% in winter 2008/09) with the West Midlands at 6.50% (5.89% in winter 2008/09). In Greater London the average amount saved per person fell below £100 for the first time in almost two years. On average people in London are now saving £99.45 per month.

Tim Mack, Senior Savings Spokesman, NS&I said: "With the new financial year approaching, now is a good time for people to take a closer look at their finances and set themselves savings goals for the year ahead."

Fewer people say they are regularly making regular savings money this quarter. Over the past five years, this figure has fluctuated between 47% and 55%, but this winter it has fallen to 44%, one of the lowest ever recorded levels*.

The amount of money regular savers set aside each month has fallen below £200 for the first time in over a year to £195.08.

ENDS

Notes to editors:
The Savings Survey (Previously the Quarterly Savings Survey) was conducted by TNS, amongst 3003 GB adults aged 16+ between 4 December 2009 and 7 February 2010.
* The lowest ever recorded figure for this savings index was 43% in winter 2006/07.

About NS&I
NS&I is one of the UK's largest financial providers with almost 27 million customers and over £95 billion invested. It is best known for Premium Bonds, but also offers Inflation-Beating savings accounts, Guaranteed Equity Bonds and Children's Bonus Bonds in its range, as well as ISAs and Cash ISAs. All products offer 100% security, because NS&I is backed by HM Treasury.

NS&I products are available over the telephone, internet, post and by standing order. They are also available through a network of Post Office branches, and our product range guide is available in over 300 WHSmith high street stores.

NS&I reveal Britons not yet planning for new ISA limits

Mon, 22 Feb 2010 10:10:33 GMT

NS&I has revealed new research that shows people across Britain are not yet planning for the changes to ISA entitlements this year and risk missing out on tax-free returns. Just 15% of Britons surveyed say they understand the new limits, which enables individuals to save up to £10,200 per year tax-free.

Research shows that a quarter (25%) of those surveyed incorrectly believe ISA allowances will remain the same in the new financial year while 24% are aware new changes are due, but are unsure what these will be. A further 10% think the ISA limit will be higher for over 50 year-olds only, which is no longer the case once the changes come into effect

It is not just the changes to the ISA entitlement that Britons are unsure of, but ISAs in general.16% of those who are aware of ISAs say the reason they haven't invested in an ISA is because they find it confusing, while one in ten people (10%) admit that saving money in an ISA this year has never occurred to them.

John Prout, Sales Director at NS&I said: "The fact that all interest earned in an ISA remains tax-free means it's a must-have product for people looking to maximise their hard earned savings. Understanding the allowances and reviewing the terms of the product is vital for savers. With less than two months to go until the end of the tax year, there is no time like the present for everyone to check their finances and plan to benefit from tax-free savings."

Uncertainty about ISAs can result in people failing to take full advantage of their entitlement. Just 16% say they will definitely use their full tax-free ISA allowance and feel it is important to do so. 15% of the population say they will take up a proportion, but do not expect to use all of it.

35% of people aware of ISAs have been put off the account in general by the current low ISA interest rates on offer, while under a third (29%) of people say they are not planning to use their full ISA allowance because they can't afford to. A similar number of people (31%) say the current climate and outlook for 2010 means they will look at other financial products, rather than ISAs. 29% say wider economic pressures have also led them to start diversifying their financial portfolio, perhaps a reason for not using the full entitlement.

-ENDS-

Notes to editors:
The Savings Survey (Previously the Quarterly Savings Survey)
The winter 2010 omnibus survey was conducted by TNS, amongst 2007 respondents between 29 and 31 January 2010.

About NS&I:
NS&I is one of the UK's largest financial providers with almost 27 million customers and over £96 billion invested. It is best known for Premium Bonds, but also offers Inflation-Beating Savings, Guaranteed Equity Bonds, cash ISA and Children's Bonus Bonds in its range. All products offer 100% security, because NS&I is backed by HM Treasury.

NS&I products are available over the telephone, internet, post and by standing order. They are also available through a network of Post Office® branches, and our product range guide is available in over 300 WHSmith high street stores.

NS&I reports growing confidence among British savers for the year ahead

Fri, 08 Jan 2010 10:40:37 GMT

According to the latest Quarterly Savings Survey by NS&I, the British population is feeling increasingly confident about its ability to save more in the coming year. Perhaps encouraged by recent reports of a financial upturn, British savers are more confident in their outlook with over a quarter of the population (27%) saying they are more likely to save money in the next 12 months than they did last year.

The NS&I figures reveal that male savers appear especially confident about the likelihood to set more money aside in 2010, with almost a third (30%) saying they will save more in the next 12 months, up from 25% in autumn 2008. By comparison, women savers have remained consistent in their outlook with 24% expecting to save more in the coming year, the same figure as autumn 2008. It is also the first time since spring 2008 that male savers have said they are more likely to increase rather than reduce the amount they save over the coming year,

Tim Mack, NS&I's savings spokesperson, commented: "People are increasingly confident that they will save more over the next year than they have done in the last year. Improving prospects in 2010 may be one reason, or it could be that people are taking the New Year as an opportunity to review and refresh their finances, and to increase their savings to boost their financial security."

Greater London, Wales, East Anglia and the North East England are the areas displaying the most certainty, while people in the South West are the least optimistic. Just 22% of people in this area thought they would save more in 2010.

For regional data, a copy of NS&I's Quarterly Savings Survey, case studies or further information on the statistics supplied in this release please contact the NS&I media team. Previous copies of the survey are available from the NS&I website.

Notes to editors
The Quarterly Savings Survey began in 2004, and reached its 5-year anniversary in autumn 2009
The autumn 09 omnibus survey was conducted by TNS, amongst 3012 respondents between 4 September 2009 and 1 November 2009.

Senior spokespeople are available for interview and high-resolution photographs can be supplied.

About NS&I
NS&I is one of the UK's largest financial providers with almost 27 million customers and over £96 billion invested. It is best known for Premium Bonds, but also offers Inflation-Beating Savings accounts, Savings bonds, Guaranteed Equity Bonds and Children's Bonus Bonds in its range. All products offer 100% security, because NS&I is backed by HM Treasury.

NS&I products are available over the telephone, internet, post and by standing order. They are also available through a network of Post Office branches, and the product range guide is available in over 300 WHSmith high street stores.

NSI reveals Britons failing to prioritise savings

Fri, 04 Dec 2009 09:29:33 GMT

NS&I has revealed that despite the financial shock of the last 18 months, data for the last five years shows that Britons have not made savings any more of a priority. This is according to NS&I's Savings Survey which, with more than 50,000 people interviewed since the Survey began five years ago, provides a comprehensive picture of the nation's changing savings habits over this period.

The data shows that in 2009, while the average monthly amount Britons save per head has increased to its highest recorded figure (£83.87, up from £70.23 in 2005), the individual savings ratio - the average amount that people say they are saving as a percentage of their take-home income - has remained fairly constant at 6.06% this year from 6.02% in 2005. It seems that the population is not diverting a larger proportion of their take-home income to savings, despite the recent economic downturn which has created a greater need amongst many to build up emergency savings in a savings account or savings bond.

Tim Mack, NS&I's savings spokesperson, comments: "Many people are now putting a few more pounds away each month for greater peace of mind. But when expressed as a percentage of monthly income saved, it is evident that Britons don't seem to have made saving any more of a priority in 2009 than they have over the past five years, despite the economic downturn.

"Taking some time to review how much unnecessary expenditure could be cut back to help focus income on what we really want and need, encourages people to develop a good savings habit. Total up how much you could save in a month, a year or even five years and see how small monthly changes really add up."

Regular savers consistently set aside more than the rest of the population, almost double the proportion of their take-home income, around 12% for each of the past five years (11.76% in 2009, a monthly average of £188.20). However, it seems that few Britons appreciate the advantages that developing this savings habit can bring - even in these more challenging economic times - as the number of people who set aside some money every month has shown little movement. In 2005, 45% said they put aside money every month; by 2009, this had only risen to 47%.

One way the economic downturn appears to have impacted on the population is with respect to their savings goals. In autumn 2009, over half (54%) of people said their main savings objective was to set money aside in case of emergency - compared to just 27% in winter 2006/2007. At this time saving for retirement (33%) and setting money aside to afford a holiday or special occasion (32%) were stated as the most important savings goals.

Tim Mack continues: "The recent financial instability appears to have encouraged many of us to set money aside, to act as a financial safety cushion in the event of the unexpected. While this is key to making sure we are financially secure, it is also important not to forget about other major expenses that occur at different life stages where we may need to draw on savings or credit if no other funds are available. Therefore we should be looking at increasing the amounts we are saving for such expenses, rather than diverting money from savings set aside in case of an emergency."

ENDS
About NS&I
NS&I is one of the UK's largest financial providers with almost 27 million customers and over £96 billion invested. It is best known for Premium Bonds, but also offers fixed rate savings bonds, Guaranteed Equity Bonds and Children's Bonus Bonds in its range. All products offer 100% security, because NS&I is backed by HM Treasury.

NS&I issues new Guaranteed Growth Bonds and Guaranteed Income Bonds

Mon, 16 Nov 2009 14:27:37 GMT

NS&I (National Savings and Investments) is releasing new Issues of its Guaranteed Growth Bonds and Guaranteed Income Bonds with rates up to 4.60% AER* with immediate effect.

The interest rates on NS&I's other savings products will remain unchanged.

John Prout, director of customer sales and retention for NS&I, said: "The new Issues of our Guaranteed Growth Bonds and our Guaranteed Income Bonds are good news for savers. Customers can choose to invest between £500 and £1 million in our one, two, three or five-year Bonds. With the new rates starting at 3.85% gross/3.92% AER for a one-year Bond, we hope that the new Issues will be highly attractive to customers who are looking for a guaranteed fixed rate of interest, coupled with 100% security for their money, as NS&I is backed by HM Treasury."

NS&I also recently announced changes to the way customers can invest in NS&I's Guaranteed Growth Bonds and Guaranteed Income Bonds. These products will now only be available directly from NS&I (by freephone**, online or by post) and no longer available through the Post Office.

NS&I and the Post Office have jointly agreed to this change, which is in part a reflection of the development of the Post Office's own brand of savings products. These include Post Office Growth Bonds - a very similar range of fixed rate savings bonds to the two NS&I products. The decision also reflects NS&I's desire to develop its direct sales channels. In addition to this, the move to direct channels is more cost-effective which means NS&I can offer higher rates of interest.

The Post Office will continue to offer a wide range of other NS&I savings products - including Premium Bonds and Savings Certificates - which can be purchased over the counter.

Notes to editors

* AER stands for Annual Equivalent Rate
** NS&I has changed its general enquiries number. Customers will now need to call the freephone number 0500 007 007 to contact NS&I directly. The previous number - 0845 964 5000 will continue to operate but customers may incur a charge from their provider. NS&I's sales line will continue to operate through 0500 500 000.

NS&I issues new Guaranteed Growth Bonds and Guaranteed Income Bonds

Wed, 04 Nov 2009 11:03:57 GMT

NS&I (National Savings and Investments) is releasing new Issues of its Guaranteed Growth Bonds and Guaranteed Income Bonds with rates up to 4.60% AER* with immediate effect.

The interest rates on NS&I's other savings products will remain unchanged.

The Post Office will continue to offer a wide range of other NS&I savings products - including Premium Bonds and Savings Certificates - which can be purchased over the counter.

Notes to editors

NSI announces changes to fixed rate bonds

Tue, 27 Oct 2009 16:27:24 GMT

NS&I has announced changes to the way customers can invest in its fixed rate bonds. From the end of October, the products will only be available directly from NS&I (by freephone, online or by post) and no longer available through the Post Office.

The Post Office will continue to offer a wide range of other NS&I savings products - including Premium Bonds and Savings Certificates - which can be purchased over the counter.

Existing NS&I Guaranteed Growth Bond and Guaranteed Income Bond customers will not notice any change as all post-sale servicing and support is already carried out directly through NS&I.

Peter Cornish, Director of Customer Offer, NS&I, said: "We are committed to making our products as straightforward as possible and ensuring that customers understand where they are investing their money. The changes we have jointly agreed with the Post Office will do just that. Our Guaranteed Income Bonds and Guaranteed Growth Bonds will continue to offer customers a simple and straightforward saving opportunity."

"The Post Office is our key distribution partner and we recognise it is a familiar option for many savers looking to invest with NS&I. Therefore, a wide range of our savings products will continue to be available over the counter in Post Office branches."

Gary Hockey-Morley, Post Office Limited marketing director, said: "NS&I savings products will continue to be a key part of the ever expanding range of value for money financial services available at Post Office branches. We look forward to continuing our long standing partnership with NS&I well into the future, through providing easy access to a wide range of their savings products through our 12,000 branches which lie at the heart of communities across the UK."

Customers can invest between £500 and £1 million in total in an NS&I fixed term bond, with guaranteed rates of interest. NS&I's Guaranteed Income Bond offers customers the opportunity to receive their interest as a monthly income, whilst the interest earned on NS&I's Guaranteed Growth Bonds is credited to the Bond annually.

NS&I's fixed rate bonds are available in terms of one, two, three and five years. The two-year term was launched in July 2009 and is only available directly from NS&I.

-ENDS-

About NS&I
NS&I is one of the UK's largest savings provider with almost 27 million customers and over £96 billion invested. It is best known for Premium Bonds, but also offers fixed term investments and fixed interest savings options in its range. All products offer 100% security, because NS&I is backed by HM Treasury.

NS&I products are available over the telephone, internet, post and by standing order. Many are also available through a network of Post Office branches. Customers can also pick up NS&I brochures at retailer WHSmith in over 400 of its High Street stores.

NS&I unveils the first live vegetable plot at BBC Good Food Shows

Mon, 12 Oct 2009 09:39:03 GMT

NS&I (National Savings and Investments), one of the UK's largest savings organisations, is delighted to be working with Matthew Biggs to encourage 'growing your own' at this year's BBC Good Food Show events.

Visitors to this year's events in Glasgow (SECC, 30 October - 1 November), London (Olympia, 13 - 15 November) and Birmingham (NEC, 25 - 29 November) are encouraged to stop by the 'Grow Your Own Food with NS&I' vegetable plot. The plot will be tended to by Gardeners' Question Time expert Matthew Biggs, who will be on hand to offer visitors helpful hints and tips on growing fruit and vegetables.

Matthew Biggs commented: "I am delighted to be working on the 'Grow Your Own Food with NS&I' feature. I'm looking forward to speaking to visitors at this year's events, offering advice on how they can make the most of growing their own fruit and veg."

He added: "Growing your own is the perfect way to cut down your shopping bill, as a bumper crop of ingredients such as tomatoes or rocket, can be grown easily for the small cost of a packet of seeds. It's also fun for the family and a great way to enjoy fresh food with the finest flavour long after you've planted the first seed."

NS&I has been the proud supporter of the RHS Grow Your Own campaign since 2008, with the aim of encouraging people to save through growing their own fruit and vegetables.

Tim Mack, NS&I's Grow Your Own representative, said: "We want to show people that they can grow their own, from using a plant pot on the window sill to an allotment or garden. Anyone can do it, and it's an easy way to save money. By visiting the 'Grow Your Own Food with NS&I' plot, visitors to the BBC Good Food Shows can obtain tips from gardening experts to help them with their own harvest."

ENDS

About NS&I
NS&I is one of the UK's largest savings accounts providers with almost 27 million customers and over £96 billion invested. It is best known for premium bonds, but also offers a Direct ISA, guaranteed growth bonds, guaranteed equity bonds and Children's Bonus Bonds in its range. All products offer 100% security, because NS&I is backed by HM Treasury.

About BBC Good Food Show
The BBC Good Food Shows and MasterChef Live are organised by BBC Haymarket Exhibitions, a joint venture owned by BBC Magazines and Haymarket.

NS&I announces ISA changes for over 50s

Mon, 05 Oct 2009 10:02:51 GMT

NS&I (National Savings and Investments) is increasing the ISA allowance on both its Direct ISA and Cash ISA* for its over 50s customers. The revised allowance will come into effect from 6 October 2009.

This change will enable existing Direct ISA and Cash ISA customers who will be 50 years or over on the 5 April 2010 to deposit up to £5100 into their ISA in the current tax year. From 6 April 2010 more than 400,000 of NS&I's Direct ISA and more than 231,000 Cash ISA savers will be eligible for the higher allowance.

These changes reflect the Chancellor’s announcement in his 2009 Budget which stated that cash ISA customers aged 50 years or over should have an increase to their tax-free ISA allowance, increasing the maximum investment from £3600 to £5100 from 6 October.

The interest rate paid on NS&I’s Direct ISA is currently 2.50%, and 0.5% per annum** on its Cash ISA.

John Prout, Director of Customer Sales and Retention at NS&I, said: "We have contacted the 365,000 of our ISA customers who will be 50 years or over on the 5 April 2010 to let them know that they can make use of their higher allowance from 6 October. They can do this by calling NS&I on our new freephone number, 0500 007 007. At NS&I we pride ourselves on being straightforward in both our communications and our savings bond range. We urge all of our eligible ISA customers to take full advantage of the increased allowance available to them."

NS&I has changed its general enquiries number. Customers will now need to call the freephone number 0500 007 007*** to contact NS&I directly. The former chargeable enquiries number, 0845 964 5000, will continue to operate but customers may incur a charge from their provider. NS&I’s sales line will continue to operate through 0500 500 000.

ENDS

Notes to editors

* The NS&I Cash ISA is no longer on sale. Customers who already have an NS&I Cash ISA can carry on using it; however, deposits can no longer be made at a Post Office branch or at a bank/building society. Customers can still make deposits by phone, post, standing order and electronic funds transfer.

** Rates paid per annum include AER. This stands for Annual Equivalent Rate and enables the comparison of interest rates from different financial institutions and across different products on a like-for-like basis. It shows what the notional annual rate would be if interest was compounded each time it was credited or paid out. Where interest is credited once a year the rate quoted and the AER will be the same.

As at April 2009 there was more than £2.4 billion invested in the NS&I Direct ISA and over £1.5 billion in the Cash ISA.

*** Calls from mobiles may not be free. All calls may be recorded. Calls will be taken by one of NS&I’s award-winning UK customer service team, available every day from 7am till midnight.

About NS&I
NS&I is one of the UK's largest financial providers with almost 27 million customers and over £96 billion invested. It is best known for Premium Bonds, but also offers Inflation-Beating Savings, Guaranteed Equity Bonds and Children's Bonus Bonds in its range. All products offer 100% security, because NS&I is backed by HM Treasury.

NS&I finds the luckiest Premium Bonds regions

Fri, 28 Aug 2009 14:24:08 GMT

NS&I has released a list of the luckiest regions for winning Premium Bonds prizes showing that those firstly in the South West, and then in the East Midlands, win more Premium Bonds prizes of £1000 or more, than the rest of the UK. Ranking as third luckiest was Wales, while the North East of England emerged as the least lucky of all the regions.

Sally Swait, Premium Bonds manager at NS&I, commented: "Each month ERNIE randomly generates the winning Premium Bonds numbers from his home in Blackpool, where all eligible Bonds - regardless of their age - have an equal chance of winning.

"The last year has seen the South West region receive the greatest luck in having their numbers come up, though all other regions were not without their own significant wins. As the numbers are generated randomly each month, we may very well see a change in the rankings of the luckiest regions in the UK next year."

NS&I also discovered that there are currently more than 599,000 unclaimed Premium Bonds prizes across the UK, worth over £35 million.

The good news is that there is no time limit for claiming prizes. Premium Bonds results can be found by using the Premium Bonds draw prize checker or writing in to NS&I.

Premium Bonds are an investment where, instead of interest payments, investors have the chance to win tax-free prizes. They were officially launched by Harold Macmillan, Chancellor of the Exchequer, in his 1956 budget.

At the end of June 2009, more than 23 million people had a total of over £40 billion invested in Premium Bonds. There are currently more than one million tax-free prizes from £25 to £1 million being won each month.

Notes to editors
Calculations for the luckiest regions data is based on the total value of prizes (£1000 and more) won by counties with at least 100,000 Premium Bond holdings. Information is for the period July 2008 - June 2009.

The current Premium Bonds prize fund rate is 1.0% tax-free. The current odds of each £1 Bond number winning any prize are 36,000 to 1, so with average luck, an investor with £30,000 in Premium Bonds could win 10 tax-free prizes a year.

All Premium Bonds prizes are free of UK Income Tax and Capital Gains Tax.

About NS&I
NS&I is one of the largest UK investments and savings organisations, offering a range of savings accounts and investments products, including fixed rate savings bonds, fixed term investments, Premium Bonds, savings certificates, and ISAs to almost 27 million customers. Established in 1861.

NS&I reveals the luckiest regions for winning premium bonds prizes

Thu, 27 Aug 2009 09:56:58 GMT

NS&I has unveiled a list of the luckiest regions for winning Premium Bonds prizes showing that those firstly in the South East, and then in the South West of England, win more Premium Bonds prizes of £1000 or more than the rest of the UK. Ranking as third luckiest was the East of England, while North East England emerged as the least lucky of all the regions.

"The last year has seen the South East region receive the greatest luck in having their numbers come up, though all other regions were not without their own significant wins. As the numbers are generated randomly each month, we may very well see a change in the rankings of the luckiest regions in the UK next year."

NS&I also revealed that there are currently more than 599,000 unclaimed Premium Bonds prizes across the UK, worth over £35 million.

The good news is that there is no time limit for claiming prizes. Premium Bonds results can be found by using the Premium Bonds draw prize checker or writing in to NS&I.

- ENDS -

All Premium Bonds prizes are free of UK Income Tax and Capital Gains Tax.

National Savings and Investments reports Britons more financially aware

Wed, 26 Aug 2009 15:19:20 GMT

NS&I has revealed new research that shows nearly two-thirds (63%) of the population are more aware of their finances and are making an increased effort to look after their accounts as a result of the credit crunch,

According to the new research released by NS&I (National Savings and Investments), almost half (48%) of the people who are focusing more attention on their finances have stated now that they know exactly how much money they have in all of their accounts. A further third (33%) know roughly how much money they have in their bank account and savings account, give or take £50.

Whether people know exactly what their financial situation is seems to be affected by both age and gender. Research shows that older age groups are more likely to be sure of their financial state of affairs, with 60% of over 65-year-olds sure of the exact amounts in their current and savings accounts, compared to 38% of the 16-24 age group and 41% of 25–34 year-olds. Women are more likely to know their precise financial circumstances, with half (50%) sure of exact amounts compared to more than two fifths (41%) of men.

The NS&I research also showed that married and co-habiting people are more money-savvy with 45% confident of the figures compared to 39% of singletons, perhaps as the more careful female attitude rubs off on their partners. In fact, more than a quarter (26%) of men state that their partner looks after their money, while only 19% of women put the financial reins in their partner's hands. It seems that often when relationships break up a lot of attention is focused on assets, perhaps this explains why 56% of those divorced, widowed or separated know exactly what money they have in their accounts. Interestingly, children seem to have a negative effect on people's awareness; 41% people who have children are confident of their exact financial circumstances, compared to 48% of those without.

Dax Harkins, senior savings strategist at NS&I, explained: "To be in control of your finances it's really important to keep track of your money and to make sure that it is invested in a savings account which suits your individual needs. Setting aside a few minutes a week is all it takes to review your money situation. From this point you can assess your incomings and outgoings, identify opportunities for savings and make your money work as hard for you as possible."

There are, of course, those people that choose to ignore keeping track of their finances. More than a third of people (36%) care just a little about their finances and do just enough to get by. One-fifth (20%) of those surveyed feel that so long as they've got regular money coming into their current account they don't need to worry about it too much and just under a fifth (17%) ignore their finances and hope they will be okay rather than spending time worrying. Nearly a fifth (19%) of the population stated that they don't have time to manage their finances properly.

Notes to Editors
*The survey, which questioned people about their financial habits, was carried about by TNS Global Market Research in June 2009 among 1002 GB adults aged 16+.

About NS&I
NS&I is one of the UK's largest financial providers with almost 27 million customers and over £94 billion invested. It is best known for Premium Bonds, but also offers Inflation-Beating Savings bonds, Guaranteed Growth Bonds and Children's Bonus Bonds in its range. All products offer 100% security, because NS&I is backed by HM Treasury.

For more information on NS&I’s involvement with the RHS and the Grow Your Own campaign,

NS&I report reveals future families founded on fortune

Fri, 14 Aug 2009 12:00:55 GMT

The new National Savings and Investments (NS&I) commissioned report*, 'Families, Finance and the Future', suggests the existence of a new institution of British life - the 'Financial Family' - a collaborative unit of close friends and family marked by financial interdependence. It does not simply show a steady flow of cash down the generations, or the 'sandwich generation' arrangement observed in recent years, but also shows flows of money and advice, up and down the generations as well as between siblings.

The costs of living and care for the elderly are recognised as rising, and the report suggests that the traditional family unit is shifting - yet family ties will be stronger than ever, and people will rely much more on financial networks. By 2029, there will be more cohabiting couples, and more single-person households than married couples living together** - so the Financial Family will be important even after the traditional family has declined.

According to the new survey research, the majority of people felt financially responsible for family members (54%), while 70% stated that current economic trouble meant families needed to support each other (70%).

Young people are more engaged with the Financial Family, with 50% of 16-24s identified as members of a Financial Family, compared to 30% of 25-34s and 20% of 35-44s. As this generation grows up, the Financial Family will become more and more widespread.

Technology will also mean that people are better equipped to share financial advice - but will also make it more important they do so. As the amount of information that tries to reach consumers increases, people will rely on the insights of their financial network to process this mass of information. This network is likely to revolve around the family as most people feel comfortable discussing financial matters (55%) with close friends and family, or sharing financial tips and advice (60%).

Barry Clark, Associate Director at the Future Foundation said: "We feel we've revealed a new way for people to look at British family life - and one that will become increasingly common. When we look at several demographic trends, like the rise of single-person households, the advance of technology and young people's involvement in financial matters, we can expect the Financial Family to be a very important feature in the future. The Financial Family is here to stay."

Tim Mack, Savings Spokesman at NS&I, said: "We started from an intuitive feeling that discussing money isn't taboo any more, but the results far exceeded our expectations. The research shows that the discussion of finances, and our relationship with money, extends beyond the traditional family."

Ends

Notes to editors
* Research carried out by Future Foundation in April 2009, with a base of 1,049 adults in the UK aged 16+ using desk research and original survey work. Sources the British Household Panel Survey, the ONS, Eurobarometer, the Department for Communities and Local Government, and previous surveys conducted by the Future Foundation.
** Department for Communities and Local Government figures predict that by 2029, about 40% of all households will be single-person; about 30% will be married couples; and 15% cohabiting couples. The figures for 2009 are around 30%, 40% and 10%

NS&I launch new fixed rate direct two year bonds

Wed, 15 Jul 2009 10:20:45 GMT

NS&I is to launch a new 2-year issue of both its Guaranteed Growth Bonds and Guaranteed Income Bonds. The new 2-year Bonds will only be available direct (via phone or online) from NS&I and will pay an interest rate of 3.75% per annum and 3.65% respectively.

Customers can invest between £500 and £1 million in total in the fixed rate bonds, with guaranteed rates of interest. The Guaranteed Income Bond offers customers the opportunity to receive their interest as a monthly income, while with the Guaranteed Growth Bond customers will receive their interest at the end of the 2-year term.

The Bonds come with the 100% capital guarantee which NS&I can offer because all of its savings and investments are backed by HM Treasury.

The new Bonds, which are available online and through NS&I's award winning UK based call centres, are part of NS&I's strategy to encourage customers to buy and manage their savings with NS&I directly. This enables NS&I to offer a more attractive interest rate to customers.

Peter Cornish, Director of Customer Offer at NS&I, said: "Our Guaranteed Income Bonds and Guaranteed Growth Bonds offer customers a simple and straightforward saving opportunity.

"Money saved in our Guaranteed Income Bonds or our Guaranteed Growth Bonds will earn a competitive and guaranteed rate of interest for the next two years. It is a simple offer and easy to take up, either online at nsandi.com or through our UK based call centres."

Dr Robin Keyte, Chartered Financial Planner and Director of Towers at Taunton Ltd, which specialises in fee-based financial planning and socially responsible investments, commented on the new issues from NS&I: "NS&I's Guaranteed Growth Bonds and Guaranteed Income Bonds are an effective way for customers to earn a fixed rate of interest on their investment, either as monthly income or as a lump sum at the end of the term. Like all NS&I investments, they also have the added benefit of a 100% capital guarantee, which is something many people will value highly in the current environment."

About NS&I
NS&I is one of the UK's largest financial providers with almost 27 million customers and over £94 billion invested. It is best known for Premium Bonds, but also offers Inflation-Beating Savings, Guaranteed Equity Bonds and Children's Bonus Bonds in its range. All products offer 100% security because NS&I is backed by HM Treasury.

NS&I products are available over the telephone, internet, post and by standing order. They are also available through a network of Post Office branches. Customers can also pick up brochures for NS&I Premium Bonds, Inflation-Beating Savings and Income Bonds at retailer WHSmith in 400 of its High Street stores and 155 of its travel stores.

NS&I invites voters to pick their favourite sustainable garden at BBC Gardeners World Live

Fri, 05 Jun 2009 11:18:05 GMT

The NS&I sponsored Grow Your Own campaign is to showcase three gardens from 10 June in Birmingham.

For the second year, three unique and visionary garden designs have been selected to be displayed at the BBC Gardners' World Live event. The designs all feature modernity, sustainability and growing fruit and veg as key themes.

Visitors to the show will be able to vote for their favourite garden in the Grow Your Own area of the show which is also supported by NSI. The overall winner of the NS&I Growing Gardens Today Competition will be announced live on the Grow Your Own area stage by gardening expert Carol Klein on Sunday 14 June.

Of the competition, Carol Klein said. "I am thrilled to be announcing the overall winner of the NS&I Growing Gardens Today competition this year. This year's designs are hugely creative, incorporating recycled and sustainable materials while showing different ways to grow your own fruit and vegetables. NS&I is a big supporter of encouraging the public to grow their own in a sustainable and cost effective way."

Visitors to the show will also have the opportunity to pick up good gardening money-saving tips and ideas for contemporary working gardens. Expert gardeners will be giving practical demonstrations and advice on growing and using fruit, veg and herbs.

The winners:
Sheila Jean Dearing, a former bio-medical scientist, from Devon, has always been deeply interested in gardening and developed her passion further when she began cultivating her own gardens. Her design, 'Forest to Fork' (located at Stand GA25), combines creativity with science to produce a space that is both beautiful and practical. Designed using FSC softwood throughout, this garden demonstrates how a small space can be productive, low maintenance and eco-friendly with a modern feel.

Christopher Parry and Rene Humphrey from Bath, both graduated from the Oxford College of Garden Design in 2007 before going on to set up their own garden design business TwentyEightDesigns. 'Urban Veg' (located at Stand GA23) is the first show garden built by the duo and aims to show NEC visitors a contemporary space made for today's city lifestyle. Designed with sustainability in mind, the garden includes many recycling components such as reusable materials, a sleek built in compost bin and reclaimed bricks for walls.

Sally Wilding-Webb from Devon has a certificate in garden design and firmly believes that the roots of good garden design are in horticulture. Sally aims to show visitors that a garden can be a sustainable fruit and veg plot as well as an area of relaxation. Her design 'Everything in the garden' (located at Stand GA24), encompasses modern techniques - such as a pond to encourage wildlife, lavender to welcome bees for pollination and an array of fruit and vegetables.

All three gardens are located in the popular Grow Your Own area at the show. Voting commences at 9am on Wednesday 10 June 2009 and closes at midday on Sunday 14 June 2009.

ENDS

About NS&I
NS&I is one of the UK's largest financial providers with almost 27 million customers and over £92 billion invested. It is best known for Savings Bonds, but also offers Inflation-Beating Savings, Guaranteed Equity Bonds and Children's Bonus Bonds in its range of savings accounts. All products offer 100% security, because NS&I is backed by HM Treasury.

About the RHS
The RHS is the UK's leading gardening charity dedicated to advancing horticulture and promoting good gardening. Its charitable work includes undertaking scientific research into issues affecting gardeners, holding plan

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