Revised NS&I Net Financing target for 2013-14

  • New Net Financing target of £2 billion reflects changes in the savings market. NS&I is forecast to deliver around £350 million of savings to the taxpayer in 2013-14 as measured by the Value Indicator
  • Un-audited Q2 2013-14 results published today

In today’s Autumn Statement, the Chancellor announced that NS&I’s Net Financing target for 2013-14 is to be revised. NS&I’s original target for 2013-14 was £0 (in a range of £2 billion either side of this, from -£2 billion to £2 billion).

The new target of £2 billion (in a range of £2 billion either side of this, from £0 to £4 billion) reflects changes in the savings market and will also help to ensure NS&I can continue to balance offering fair rates to its savers alongside delivering cost-effective finance to government and supporting the stability of the broader financial services sector. NS&I’s latest forecast, published today, is that it will deliver Net Financing of £3.5 billion in 2013-14. This has been driven by an increase in new deposits.

Since the original Net Financing target was set in the Budget in March 2013, gilt yields have increased meaning raising funding through NS&I is now comparatively more cost effective for the government than doing so through the equivalent gilt markets, as measured by NS&I’s Value Indicator. NS&I is forecast to deliver around £350 million of savings to the taxpayer in 2013-14 as measured by the Value Indicator.

Jane Platt, Chief Executive, NS&I, said: “We know that we occupy a unique position at the heart of the UK savings market. We work hard to ensure we continue to strike a balance between the interests of our savers, taxpayers and the broader savings sector.

“Today’s increase in our Net Financing target means that savers can continue to invest with us at fair rates, all taxpayers will benefit from the Value Indicator saving we will deliver this year, and we can achieve both of these without disrupting the broader savings sector as our market share has now fallen to an historically low level.”

Quarterly figures 


Qtr / year



Gross inflows






Gross outflows



Net Financing



Total stock



Value Indicator

Q2 2013-14(un-audited) 4.1 0.4 3.8 0.7 104.7 0.06
Q1 2013-14(un-audited) 4.9 0.7 3.9 1.7 104.0 -0.02
2012-13  11.7 2.3 14.7 -0.7 102.2 -0.2
2011-12  18.3 2.4 16.7 4.0 102.9 0.4 (VI)
2010-11  15.3 2.6 17.8 0.1 98.9 0.8
2009-10 18.1 1.9 18.4 1.6 98.8 1.4

*C&AIP is capitalised and accrued interest and prizes earned.

All figures are in £ billion (rounded). 2013-14 figures are unaudited and subject to change due to late transaction processing (evidence of identity), cancellation and any accounting adjustments.

NS&I reports quarterly on gross inflows and outflows, Net Financing and total stock. Each quarter, NS&I issues these unaudited figures and publishes its Annual Report and audited accounts each financial year.DS

Notes to Editors

  1. NS&I was formed in 1861 and is now both a government department and an Executive Agency of the Chancellor of the Exchequer. All products offer 100% security, because NS&I is backed by HM Treasury.
  2. Net Financing – the measure of the net change of NS&I funds, meaning total inflows from deposits, retention of maturing monies and capitalised and accrued interest, less the total outflows from withdrawals and interest or Premium Bond prize draw payments. A positive Net Financing figure represents a positive contribution to government financing.
  3. Value Indicator – a measure of NS&I’s cost-effectiveness in raising finance for the Government which compares the total cost of delivering Net Financing and servicing existing customers’ deposits with how much it would cost the Government to raise funds through the wholesale market via equivalent maturity gilts and Treasury Bills.
  4. NS&I’s market share in September 2013 was 7.27%.
  5. For further information, or to request an interview, please contact the NS&I media team.

Media team:

Gareth Headon

020 7932 6611

Jonty Alone

020 7932 6633

Asia Manzoor

020 7932 6831

Chris Dowsett

020 7932 6644

Lydia Goldman

020 7932 6727
ISDN for interviews: 020 7828 5288

Out of hours : All numbers above diverted to staff mobile phones.

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