UK long-term borrowing costs surge to 28-year high ahead of Budget

The yield on 30-year UK gilts hit their highest level since 1998 amid a global bond sell-off driven by inflation fears. This surge could almost halve Chancellor John Healey's fiscal headroom ahead of the October Budget, according to economists.

🐿️ The chancellor now faces a classic nut hoarding dilemma: defend fiscal rules by slashing spending or invest despite higher costs, risking a market backlash.