Changes to old Savings Certificates

9 August 2013

War Savings Certificates (1916-1920) and Fixed Interest Savings Certificates Issues 2 to 6 (1920-1939)
Fixed Interest Savings Certificates Issues 7 to 43 (1940-1996)
Index-linked Savings Certificates Issues 1 to 4 (1975-1990)

From 11 November 2013 we will be making changes to how we calculate the returns on these old Savings Certificates. We are simplifying our range of accounts and investments to make them more consistent with current Issues and easier to understand. As part of these plans we’re making some changes to how we calculate the returns on our older style Savings Certificates that were sold between 1916 and 1996. These Certificates were on sale between 17 and 97 years ago and have since matured and are currently on extension terms.

What are the changes?

War Savings Certificates (1916–1920) and Fixed Interest Savings Certificates, Issues 2 to 6 (1920–1939)

The amount invested and any interest earned in each Issue will be capitalised to give a total amount at close of business on 10 November 2013.
From 11 November 2013, these Issues will earn interest daily at the General Extension Rate. (These Issues currently earn a specific amount of interest each year rather than a rate of interest.)
No additional returns will be earned.

Fixed Interest Savings Certificates, Issues 7 to 43 (1940–1996)

The amount invested and any interest earned in each Issue will be capitalised to give a total amount at close of business on 10 November 2013.
From 11 November 2013, these Issues will earn interest daily at the General Extension Rate. (These Issues currently earn interest only for each complete period of three months for which a Certificate is held.)
No additional returns will be earned.

Index-linked Savings Certificates, Issues 1 to 4 (1975–1990)

The amount invested and any interest, bonus and/or supplements earned in each Issue will be capitalised to give a total amount at close of business on 10 November 2013.
From 11 November 2013, these Issues will earn monthly index-linking only on the total investment value, for each complete month held.
No additional returns will be earned.
We are also changing the relevant RPI figure that we use when calculating the repayment value of investments in Issues 1 and 2. The relevant RPI figure will be the one published by the Office for National Statistics in the calendar month preceding the last complete month for which the Certificate was held. (Currently, the relevant RPI figure is the figure published by the Office for National Statistics in the calendar month preceding the calendar month in which repayment takes place.) This change will bring Issues 1 and 2 into line with all other Issues of Index-linked Savings Certificates.

Your money remains 100% secure, backed by HM Treasury.

A supplement to the terms and conditions for the above investments is available for your information.

What investors can do next

Customers holding these Issues of Savings Certificates can:

cash in their investment;
reinvest the value of their investment into a current Issue of Savings Certificates (minimum reinvestment £100); or
leave their money invested under these new arrangements.

How to find out more

If you hold one or more of these older Issues of Savings Certificates, please contact us.