The Gilt MPS was launched last April to provide advisors and clients access to a managed portfolio of UK government bonds, with a range of maturity dates up to 2032 available following the expansion of the range earlier this year.

The portfolios carry a 0.1% charge and are designed to provide cash-like returns across rolling maturity dates to suit clients’ needs.  Gilts are exempt from Capital Gains Tax (CGT), incurring only income tax at the holder’s marginal rate on coupon payments.

An AJ Bell comparison, based on rates available on August 18, 2026, showed a £100,000 investment in a gilt with a 4.18% yield generating a £3,880 a return after tax for a taxpayer who pays 40%, compared with £2,910 from a one-year fixed rate savings account paying 4.85%, equaling a yield of 3.88% for the gilt, compared with 2.91% for the savings account.

Ryan Hughes, AJ Bell Investments managing director, said: “Gilt MPS offers flexible gilt laddering designed for clients with different time horizons and gives them the opportunity to realise extremely tax-efficient cash-like returns. For higher and additional rate tax payers in particular, the post-tax yield can be more attractive than the net return from the leading cash accounts thanks to the capital gains tax exemption which means the bulk of the return is tax free.

“That attractive return net of tax for a cash-like investment, with the added benefit of a wide range of maturity dates, means the Gilt MPS has already gained significant traction with advisers and their clients.”