Premium Bonds and Cash ISAs are two of the most popular savings options in the UK, but which one is right for you? With interest rates fluctuating and the cost of living still a real concern, it's more important than ever to make your savings work as hard as possible.

Join our host, Philippa Lamb, and VP Personal Finance at PensionBee, Maike Currie as they discuss:

• how Premium Bonds work, including the odds, limits, and why there's no guaranteed return;
• how Cash ISAs compare on interest rates, access, and tax efficiency; and
• who should consider which option, and whether holding both makes sense.

Episode breakdown

00:45 How Premium Bonds work

02:41 The catch with Premium Bonds

05:05 How Cash ISAs work

07:00 Tax considerations

07:35 Which is right for you?

Further reading and listening:

To learn more about Premium Bonds and Cash ISAs, check out these articles and podcasts from PensionBee:

• How does inflation affect pensions? (Blog)
• Inflation Calculator (Calculator)
• What are Premium Bonds? (Article)
• What is a Cash ISA? (Article)
• What to do when interest rates rise (Blog)
• E29: Pensions vs. cash - which is best? (Podcast)

Other useful resources

• Premium Bonds prize rate and odds (NS&I)
• Tax-free interest on savings (GOV.UK)
• Barclays Equity Gilt Study 2025 (Barclays)

Catch up on the latest news, read our transcripts or watch on YouTube:

• The Pension Confident Podcast
• The Pension Confident Podcast on YouTube

Follow PensionBee (@PensionBee) on TikTok, YouTube, Instagram, LinkedIn, Facebook, X and Threads.

Enjoying the podcast? Tell us what you think below and give us a review or rating. As always we'd love to hear your suggestions and feedback. Send us an email: podcast@pensionbee.com.