UK Cost of Living: Mortgage Shock Looms as Borrowing Costs Hit 18-Year Highs and Fiscal Headroom Shrinks

5.83% — the yield on 30-year UK government bonds, its highest level since 1998, signaling a profound shift in the UK's borrowing landscape.

Money Moves

• Swap rates surge to a three-year high: The five-year swap rate rose above 4.52%, the level lenders use to price fixed mortgages, setting the stage for higher monthly payments for homeowners.
• Coventry Building Society hikes rates: The first mainstream lender to act, it increased rates across its...