The ultimate compound interest example. If held within or outside a tax wrapper all capital gains are tax free. The British Government’s desperate need to borrow your money means it not going to change anytime soon.

If you hold until the 31/01/2028, the government will deem your gilt at £100.00. You don’t need to do anything they will send you your money.

Despite all you may read, it’s a government backed scheme for rich people to avoid paying tax. If you are saving for a special reason, you can work out your payment to the nearest penny. Or if you are nervous about buying high yielding shares as a comfort blanket, if you pair trade.

GL