Bonus Bonds are an interesting quirk of history that would be classed as tax avoidance if someone tried to set it up now :)
They are a great place to stash money to keep it out of the hands of government departments who class interest as a source of income
(they are "winnings" similar to a lotto payout),
But they are a rotten place if you want to actually make a return, as fees and tax gobble up almost 50% of the funds return, so you get much less in the hand compared with a simple term deposit...
Umm...there are no fees. When you win a prize e.g. $20, it is $20.