United Kingdom 30-year gilt yields surge to highest level since 1998

May 15, 2026, 2:00:10 PM UTC(7 hours ago)
Impact: High
United Kingdom 30-year gilt yields surge to highest level since 1998

Affected Assets

  • Long-term borrowing costs jumped as the 30-year gilt yield reached 5.86 percent amid domestic political instability and global inflation fears
  • Markets reacted sharply to reports of a potential leadership challenge to Prime Minister Keir Starmer by Greater Manchester Mayor Andy Burnham
  • The selloff in British bonds outpaced similar movements in German bunds as investors weighed the prospect of a governing party leadership contest
  • Traders are now pricing in nearly three Bank of England interest rate hikes by the end of 2026 due to persistent price pressures and geopolitical tensions
  • The 10-year gilt yield also climbed significantly during the session reaching its highest point since the 2008 financial crisis

Sources

UK 30-YEAR YIELD CLIMBS 20BPS TO 5.86%, HIGHEST SINCE 1998
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