Britannia launches new inflation-linked bond

Britannia has launched a new range of Guaranteed Capital Bonds, including a brand new inflation-linked product.

Available from 26 July, the new five year Inflation Linked Guaranteed Capital Bond (ILGCB) gives customers the chance to benefit from potential growth in either the FTSE 100 Index or the Retail Price Index (RPI) - whichever is greater over the five year period.

Tim Franklin, Managing Director of Member Business, said: "With so much debate about inflation and increasing fuel and food prices, our new inflation-linked bond provides a buffer against the effects of inflation over the next five years."

Savers will benefit from the greater of either 50% of the FTSE 100 Index growth, or any percentage growth in the Retail Price Index. However, the bond guarantees that the customer's original capital is protected even if there is no growth in either Index.
The ILGCB is also available as an ISA, so customers can also benefit from a tax free return.

Other products in Britannia's new suite of Guaranteed Capital Bonds range from three to six year investments, all with an increased potential return than the Society's previous range.

For more information, visit britannia.co.uk