If you are dealing with a bereavement and the person who died had savings with NS&I – Premium Bonds, savings certificates, or any other NS&I product, it is worth paying attention to a story that broke this morning.

The government has confirmed that National Savings and Investments is expected to pay hundreds of millions of pounds in compensation to around 37,000 customers. The Pensions Minister addressed MPs in the House of Commons today. The figure being discussed is up to £400 million.

The complaints behind this are serious. Bereaved families have accused NS&I of losing track of investments, delaying the release of funds, and withholding Premium Bond prizes that should have been paid to estates. Some families were sent letters addressed to the person who had died, months or years after their death. Others were forced to instruct solicitors just to recover money that was rightfully theirs and then had to absorb those legal costs themselves. In at least one reported case, a family received incorrect information from NS&I call handlers and ended up with an HMRC fine as a result.

Complaints against NS&I have more than doubled in three years, rising from around 73,000 in the second half of 2021 to almost 160,000 in the first half of 2025. Behind the numbers is a failed technology project – a £3 billion modernisation programme branded by the Public Accounts Committee last month as “a full-spectrum disaster.”

What this means if you are dealing with an estate

If the deceased held NS&I products and the administration of their estate has been delayed, interrupted, or complicated by NS&I’s conduct, that experience may form part of a compensation claim. This includes situations where:

• Funds were delayed and interest was lost as a result
• Premium Bond prizes were withheld after the account holder’s death
• The estate incurred legal or professional costs to recover money NS&I should have released
• Incorrect information from NS&I led to a tax penalty or other financial loss

The detail of any formal redress scheme has not yet been published. Treasury officials are still working through what they describe as a complex picture. We will update this page as more becomes clear.

If you think you may be affected

Whether you are an executor trying to close an estate, or a beneficiary who has waited too long for money you are owed, the starting point is the same: gather your correspondence with NS&I, make a note of any delays and their consequences, and take advice.

We offer free consultations on estate disputes and administration problems. If NS&I’s failures have cost your family money or caused unnecessary distress at an already difficult time, we would like to hear from you.

Call us on 0161 515 7329 or use the form below to request a call back.