Interest rates for new State saving bonds have been cut by up to 5% from today.
The National Treasury Management Agency has said the changes are due to the fall in rates in the retail savings market and in bond yields.
Existing State savings products will retain their original interest rates.
Interest on a three-year savings bond has been cut from 4% to 2.5% on a fixed rate basis.
The ten-year National Solidarity Bond's interest has been cut from 30% to 25%.
There is also a reduction in the prize bond pool, which will now be calculated at 1.25% rather than 1.6% of total prize bonds.
