The bonds are available to purchase online, by phone (0500 500 000) or by post. Application at a Post Office is not possible.
The very attractive terms on offer mean that both one and three year issues are likely to sell out quickly. The total issuance is £10bn.
This week’s 0.5% inflation figure has strengthened the possibility that there will be no base rate increase until next year. It has also underlined that the Pensioner Bond rates are much higher than they need to be.
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