Savings: No quick return for NS&I Index Linked Certificates

Savings: No quick return for NS&I Index Linked CertificatesNational Savings & Investments (NS&I) have confirmed that their Index Linked Certificates are “highly unlikely” to be returning this year. On the same day that CPI (Consumer Prices Index) inflation surprisingly rose this news will come as a blow to savers struggling to get a real, above inflation, return on their savings. Inflation linked savings accounts NS&I Index Linked Certificates provide a guaranteed return above inflation, measured by RPI (Retail Prices Index), with the ...

Post Office launch an inflation linked bond, should you believe the hype?

The Post Office has launched the latest version of the Inflation Linked Bond. The Bond offers two terms, three years and five years and a day, with interest linked to RPI (Retail Prices Index) plus a fixed amount of 0.24% per annum on the three year version and 0.98% per annum on the longer term account. RPI generally runs higher than CPI (Consumer Prices Index) and includes the cost of mortgage interest rates, in August RPI was 5.2% and has been rising consistently over the past year or so. Richard Norman, director of savings and investments at the Post Office, said: "Since we ...

National Savings Index Linked Certificates withdrawn

Savers wake up to more bad news this morning as National Savings & Investments (NS&I) announce they have withdrawn their popular Index Linked certificates overnight. NS&I stopped taking sales via its website and call centre yesterday, postal applications received today (7th September) will be accepted, but any received after today will be returned. The Fixed Interest certificates have also been withdrawn, although these were not as popular as the Index Linked versions, which provided a tax free return above RPI (Retail Prices Index). Given current rates of inflation the Index Linked accounts looked extremely attractive and were rightly popular. The certificates had been ...

Warning over NS&I Index Linked Certificates

Despite only being re introduced in May National Savings & Investments (NS&I) has issued a warning over excess demand for these popular savings products. NS&I has said that it will need to monitor ‘pent up demand’ for the Index Linked Certificates, which have been popular amongst savers. The certificates provide a tax free return which is guaranteed to be above inflation. Despite the £15,000 cap on how much each saver can invest per issue the products have been popular as savers try and combat the twin effects of low interest rates and high inflation. NS&I put the Index Linked ...