New figures from National Savings and Investments (NS&I) has found that Britons took home £4.9billion in Premium Bonds prizes during 2025 with analysts breaking down how savers can “stand a better chance” of winning the iconic lottery.
Unlike traditional savings accounts which accrue interest over time, Premium Bonds are enrolled in a monthly prize lottery which could see them cash sums of up to £1million.
Premium Bonds delivered a stellar performance throughout 2025, attracting more than 470,000 new savers who opened accounts during the year. NS&I’s flagship savings product saw deposits surge by £5.8billion, pushing total holdings from approximately £128.7billion in January to over £134.6billion by December.
The random number generator ERNIE distributed nearly 72 million prizes throughout the year, with a combined value approaching £5 billion. December proved the busiest month for prize draws, with ERNIE generating more than 6.1 million winning numbers worth over £403million.
Analysts are sharing how you stand a ‘better chance’ of winning Premium Bonds prizes?
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NS&I / GETTY
This year also marked a significant milestone, celebrating 68 years since ERNIE first began selecting winners in June 1957. Since then, the system has awarded 803 million prizes totalling £39 billion.
Agent Million traversed the length of Britain this year to deliver life-changing news to 24 jackpot winners, with visits stretching from the far north of Scotland down to Cornwall.
Norwich and Cumbria emerged as the luckiest locations, each producing two millionaires during 2025. One particularly remarkable win came in March when a saver holding just £100 in bonds claimed the £1 million top prize.
This represents the second-smallest holding ever to secure the jackpot, surpassed only by a £17 investment that won in July 2004.Beyond the headline jackpots, ERNIE awarded an average of 79 prizes worth £100,000 and 157 prizes of £50,000 each month.
Premium Bonds holders can check to see if they have won a prize via the Premium Bonds prize checker app | NSI
Long-standing bondholders also struck gold, including an Outer London resident who won £100,000 in March from bonds purchased in 1977 worth just £14. Young savers featured prominently in this year’s success story, with 77,177 accounts established for children under 16.
These junior bondholders collectively won more than 1.3 million prizes during 2025, amounting to £91.7 million in winnings. Among the youngest winners, 22 children secured prizes ranging from £100,000 up to the maximum £1 million jackpot.
New customers deposited an average of £10,674 when opening their accounts this year, demonstrating continued confidence in the Government-backed savings scheme.
Andrew Westhead, NS&I Retail Director, reflected on the year’s achievement and hailed the savings product’s record: “2025 has been another outstanding year for Premium Bonds.
Britons are looking for the best deals | GETTY
“As we marked the 68th anniversary of ERNIE drawing the first winners in June, it’s been great to see that Premium Bonds continue to bring excitement and opportunity to savers far and wide.”
Despite the impressive figures, financial analysts are urging savers to reassess whether Premium Bonds remain the optimal choice heading into 2026 as interest rates continue to be competitive.
Sarah Coles, the head of personal finance at Hargreaves Lansdown, cautioned: “When people win a prize on their Premium Bonds they get more than just the money, they also feel a sense of getting something for nothing, which is a powerful incentive to stay put.
“However, in reality, you’re actually paying for the prizes yourself, because your cash doesn’t earn any interest. Given the fact that the average bond holder will win nothing in the average month, it means your savings are likely to lose money after inflation.”
For families investing on behalf of children, Ms Coles recommended exploring Junior ISAs as an alternative, noting their tax-free growth potential over longer investment horizons.
She added: “The longer you hold money in the bonds, the bigger the impact this can have. Families buying for children could see the real value of the bonds shrink considerably over the years. Given that the average account balance for new customers in 2025 is £10,674, there’s the potential to lose a significant chunk of your spending power.
“As we head into the new year, it’s worth considering whether you’re still happy with the deal, or whether you’d prefer the certainty of a strong rate in the wider savings market. Check what’s available from online banks and saving platforms, where you’ll usually find competitive deals.
“Growth and income is tax free, like with Premium Bonds, but if you invest the money for 5-10 years or more they have real growth potential, and stand a much better chance of growing notably faster than inflation.”