#122115
Postby scrumpyjack » March 4th, 2018, 4:30 pm
I have been asked to clarify my previous post
I meant that the prizes on my wife and my combined holdings of £100,000 in Premium Bonds in those 2 years totalled £925 and £975 (almost all were £25 prizes but there was one £100)
In one year we got prizes in 11 out of 12 months and in the other we got prizes in 10 out of 12 months.
The prizes on premium bonds are based on a 'pool' of notional interest, currently I think 1.24% pa, which is then paid out randomly in prizes ranging from £25 to £1 million. ie HMG funds a prize total that represents 1.24% per annum of the total value of all premium bonds
So if a husband and wife between them own £100,000 in PBs they would expect to get prizes totalling £1,240 each year.
Obviously this could be distorted if the larger prizes (eg £1 miilion) were a significant proportion of the total prize pool. However there are only 2 prizes of £1 m per month and the total prize pool is so large those prizes are not going to significantly reduce the number of £25 prizes.
I hope this is clearer!