UK Borrowing Costs Hit 18-Year High as Global Bond Rout Squeezes Borrowers

A global bond sell-off, stoked by renewed US-Iran hostilities and surging oil prices, has driven UK borrowing costs to their highest levels since 2008. The yield on 10-year gilts touched 5.29% – an 18-year high – before easing to 5.22% as markets calmed slightly. This wave of risk aversion is flooding through every corner of the UK economy, from Westminster to High Street.

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