National Savings and Investments (NS&I) has been compelled to publicly defend its operations after revelations that Premium Bonds prizes have been awarded to hundreds of thousands of holders living outside the United Kingdom, including in nations like Russia, China, and Syria.
Global Prize Claims Prompt NS&I Statement
Figures released by the Treasury-backed provider show that since the start of 2020, bond holders in several countries subject to international scrutiny have claimed significant sums. In Russia, 21 holders have won 71 prizes totalling £2,975. A far larger sum, £75,050, has been claimed by 176 Premium Bond holders in China across 1,516 prize wins.
The data also highlights holdings in other nations. 54 bond holders in Syria have collected 25 prizes worth £925 since 2020, while 280 holders in Iran have won £13,500. In Saudi Arabia, 670 people have secured a combined £152,350 in prizes.
Rules Allow Worldwide Eligibility
In response to the figures, an NS&I spokesman clarified the institution's policy. "The vast majority of Premium Bonds holders live in the UK," they stated, emphasising that the ability to hold bonds is not restricted by geography. "Premium Bonds can only be purchased by savers if they hold a UK bank or building society account in their name."
This rule explains the overseas holdings. "Where Premium Bonds are held overseas, they may be UK nationals living or working abroad," the spokesman added. All prizes are paid directly into a UK bank account, via a sterling warrant, or are reinvested.
Scale of Overseas Holdings Revealed
The data provides a snapshot of where these international savers are based. The top 20 countries for overseas holdings account for approximately 600,000 people. Leading the list are traditional expatriate destinations:
- Australia: 155,000 holders
- Canada: 80,000 holders
- Ireland: 47,000 holders
- Jersey: 35,000 holders
- New Zealand: 34,000 holders
Significant numbers are also held across Europe, with 27,000 in France, 25,000 in Spain, and 25,000 in Guernsey. Other notable countries include South Africa (19,000), Germany (13,000), the United States (12,000), and Japan (10,000). The figures also record smaller numbers in nations like Angola, Namibia, and the Democratic Republic of the Congo.
The disclosure comes amid heightened political sensitivity, notably concerning the DRC, against which the Labour government has recently imposed visa restrictions. Despite this diplomatic move, the longstanding financial rules governing Premium Bonds remain unchanged, allowing savers worldwide to participate provided they maintain the requisite UK banking link.
