NS&I provisional Q3 2017-18 results and 2018-19 Net Financing target

NS&I has today published its unaudited quarterly results for the third quarter (October to December 2017) of the financial year 2017-18. NS&I delivered £3.3 billion of Net Financing in Q3 2017-18, giving a year-to-date total of £6.8 billion.

  • Q3 2017-18 Net Financing of £3.3 billion
  • 2017-18 Net Financing full year forecast: £10.2 billion

Today’s Spring Statement confirms that NS&I’s Net Financing forecast for 2017-18 is £10.2 billion. This is in line with its revised Net Financing target of £8 billion (within a range of £5 billion to £11 billion) set out in the Autumn Budget on 22 November 2017.

The end-year forecast reflects higher Net Financing since NS&I increased interest rates on some of its variable rate products on 1 December 2017 and the return to sale of Guaranteed Growth Bonds and Guaranteed Income Bonds on 1 December 2017.

NS&I delivered £79 million of value to the taxpayer in Q3 2017-18, as indicated by the Value Indicator, delivering a year-to-date total of £188 million. NS&I forecasts a Value Indicator return of circa £225 million in 2017-18. This is lower than the target set at the Budget in March 2017 to deliver £250 million of value for the taxpayer but above the lower limit of -£100 million (excluding Investment Guaranteed Growth Bonds and 65+ Bonds). The lower limit is important because it allows NS&I to continue to balance the interests of its savers, taxpayers and the stability of the broader financial services sector through a period of exceptionally low gilt yields.


In the 2018 Spring Statement, it has also been confirmed that NS&I will have a 2018-19 Net Financing target of £6 billion, within a range of £3 billion to £9 billion. NS&I’s 2018-19 Value Indicator target is to deliver £125 million, with a lower limit of £0 (zero).

Quarterly figures

Quarter / Year Gross inflows  C&AIP*  Gross outflows  Net Financing  Total stock Value indicator 
Q3 2017-18 (unaudited) 9.5 0.6 6.8 3.3 153.7 0.08***
Q2 2017-18 (unaudited) 7.3 0.6 6.1 1.8 150.4 0.08***
Q1 2017-18 (unaudited) 7.5 0.7 6.6 1.6 148.6 0.03***
2016-17 35.0 2.3 25.5 11.8 146.9 0.1**
2015-16 31.5 2.1 22.3 11.3 135.1 0.1**
2014-15 32.3 1.6 15.7 18.2 123.9 0.3**
2013-14 16.4 2.0 14.9 3.4 105.7 0.3
2012-13 11.7 2.3 14.7 -0.7 102.2 -0.2

All figures are in £ billion and are subject to rounding. Q3 2017-18 figures are provisional, unaudited and subject to change due to transaction processing (evidence of identity) adjustments, cancellations and any accounting adjustments.

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

**Excluding 65+ Bonds.

***Excluding 65+ Bonds and Investment Guaranteed Growth Bonds.

NS&I reports quarterly on gross inflows and outflows, Net Financing and total stock, releasing unaudited figures. It publishes its Annual Report and audited accounts each financial year.

Notes to Editors

  1. NS&I is one of the largest savings organisations in the UK, offering a range of savings and investments to 25 million customers. All products offer 100% capital 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 Bonds prize draw payments. A positive Net Financing figure represents a positive contribution to government financing.
  3. NS&I’s original Net Financing target for 2017-18 – set at the Budget in March 2017 – was £13 billion, in a range of £10 billion to £16 billion. In the Autumn Budget on 22 November 2017, NS&I’s Net Financing target for 2017-18 was revised to £8 billion (in a range of £3 billion either side of this, from £5 billion to £11 billion). The change to the target reflected lower than expected Net Financing being delivered in the first half of 2017-18, due to changes in the savings market.
  4. Value Indicator – an indication of NS&I’s cost-effectiveness in raising finance for the Government. It is an indication of the total cost of delivering Net Financing and servicing existing customers’ deposits compared with how much it would cost the Government to raise funds through the wholesale market via equivalent maturity gilts. 65+ Bonds are not included in the Value Indicator. As they were a specific Budget measure, the cost for delivering them was set out in the 2014 and 2015 Budget scorecards. Investment Guaranteed Growth Bonds were a specific measure announced at the 2016 Autumn Statement and are not included in the Value Indicator.
  5. For further information, please contact the NS&I media team.