Premium Bonds as part of estate

[Folker]

My mother's estate contains �26 of Premium Bonds. According to NSI if to wish "you can continue the holding
in the deceased's name. Bonds will remain
in each prize draw for up to 12 months
after the date of the customer's death.......At the end of 12 months, the value of
the Bonds will be paid out to the person
who is entitled to the money".

If the bonds win a prize in this period, would it be considered for inheritance tax? In this case it would have to be the million pound prize.

[factor-fiction]

I bet you can't sleep at night worrying about this one.

[dzug]

Yes it would form part of the deceased's estate and therefore (if big enough) attract inheritance tax.

[puss_boots]

If you win the �1,000,000 with only a �26 holding then paying the inheritance tax must surely be a pleasure.