Tom Blenkinsop – 2014 Parliamentary Question to the HM Treasury

The below Parliamentary question was asked by Tom Blenkinsop on 2014-04-03.

To ask Mr Chancellor of the Exchequer, what assessment he has made of the compatibility of the proposed role for National Savings and Investment (NS&I) offering pensioner savings bonds with NS&I’s objective of reducing the cost to the taxpayer of Government borrowing.

Nicky Morgan

NS&I’s purpose is to provide cost effective financing for the Government that balances the interest of savers, taxpayers and the wider markets.

Given that the NS&I fixed-rate savings bond for people aged 65 or over are a Budget measure designed to offer targeted support to a particular group of savers, the costs of raising funding through these bonds, rather than gilts, was represented in Table 2.1 of the Budget 2014 document.