Sales of prize bonds soar to over €133m in 2005

PRIZE bond sales now exceed €133 million a year, according to the Prize Bond Company.

A 5.7% increase in prize bond sales in 2005 saw sales exceed €133m in value, according to the annual report of The Prize Bond Company. A total of €561.5m was invested in bonds at the end of 2005, representing an 11% rise on the previous year.

In terms of prizes, some 130,000 were issued to customers over the year, with an aggregate value of €12.7m — showing a 12.7% increase on 2004 levels. There was also continued growth levels in online sales through the www.prizebonds.ie website. These showed a rise of almost 60% on the previous year.

According to Michael O’Keeffe, chairman of The Prize Bond Company: “The financial results exceeded our expectations for the year. As we look forward to our 50th anniversary in 2007, we intend to review all aspects of the product in the coming months.

“We will continue to consult our customers through market research and will seek to use the feedback from this to further improve the attractiveness of prize bonds. We feel the positive results already reflect the continued level of customer confidence in the product.”

Something of a milestone was passed last year with the average value of prizes awarded for each month rising to just over €1m.

Last December alone, prizes worth €1.25m were awarded to more than 13,000 winners.

“As a secure, state-guaranteed investment, prize bonds remain an attractive savings option for small and large investors and is also an ideal gift product,” he added.

Founded in 1957, the Prize Bonds draw is Ireland’s longest-running prize draw. The unit price of a prize bond is €6.25 with a minimum purchase of four units, at a total cost of €25.

All prize bonds enter a weekly cash draw with prizes ranging in value from €75 to the monthly jackpot prize, now worth €150,000.