UK Treasury Index-Linked 0.125% 2068 Gilt
Live yield & returns · Last updated · Capital at risk
2.11%
5.12%
£45.29
22 March 2068
The UK Treasury Index-Linked 0.125% 2068 is a index-linked gilt with a 0.125% coupon, maturing on 22 Mar 2068 — roughly 41.5 years from now. At the latest market price it is a long-dated (15+ years) holding currently trading below par (at a discount).
Based on a clean price of about £45.29 per £100 nominal, this gilt offers a running yield of 0.28% and a real yield of 2.11% (about 5.12% a year if RPI inflation averages 3%). The running yield reflects the income return from coupons alone, while the real yield also accounts for the capital gain if you hold to redemption.
As an index-linked gilt, both its principal and coupon payments are uprated in line with inflation (RPI). The headline coupon is low because the inflation uplift is delivered separately — making this type of gilt suited to investors who want to protect real purchasing power rather than maximise nominal income. The real yield is the return on top of inflation; the cash return depends on what RPI actually does.
Worked example: a £10,000.00 investment
Held to maturity, assuming 20% tax on coupon income (capital gains on gilts are tax-free) and RPI inflation of 3% a year:
| Amount invested | £9,963.95 |
| Coupon income (less accrued interest paid) | £2,258.06 |
| Capital gain / loss | £65,037.10 |
| Total profit (gross) | £67,295.15 |
| Total profit (after tax) | £66,843.51 |
| Annualised return (gross) | 5.06% |
| Annualised return (net) | 5.05% |
Estimates for illustration only. Not financial advice.
Similar gilts
| Gilt | YTM | Maturity |
|---|---|---|
| UK Treasury Index-Linked 0.125% 2065 | 5.18% | 22 November 2065 |
| UK Treasury Index-Linked 0.125% 2073 | 4.80% | 22 March 2073 |
| UK Treasury Index-Linked 0.375% 2062 | 5.27% | 22 March 2062 |
| UK Treasury Index-Linked 0.125% 2058 | 5.35% | 22 March 2058 |
Frequently asked questions
What is the yield on the UK Treasury Index-Linked 0.125% 2068 gilt?
Based on the latest market price, the UK Treasury Index-Linked 0.125% 2068 has a real yield of 2.11% (about 5.12% a year if RPI inflation averages 3%) and a running (income) yield of 0.28%. Yields move daily with the gilt's market price.
When does the UK Treasury Index-Linked 0.125% 2068 gilt mature?
This gilt matures on 22 Mar 2068, approximately 41.5 years from today. At maturity holders receive the £100 nominal value per unit, uprated for inflation.
Are returns on the UK Treasury Index-Linked 0.125% 2068 taxed?
Capital gains on UK gilts are exempt from Capital Gains Tax. Coupon income is taxable as income, though it can be sheltered within an ISA or SIPP. This page shows both gross and after-tax figures.
How much would a £10,000 investment in the UK Treasury Index-Linked 0.125% 2068 return?
A £10,000 investment would buy approximately 220 units and, held to maturity, is projected to return a total profit of about £67,295.15 (gross). See the worked example on this page for the full breakdown.