Britons are awaiting the final results of local elections across the U.K., with polls pointing to a backlash against the ruling Labour party as cost of living pressures have once again dominated political discourse.
Early council election results show Reform UK have made significant gains at the expense of Labour and the Conservatives, as the major polls had predicted.
The conflict in the Middle East has sent oil prices sharply higher and disrupted shipping routes, pushing up energy, transport and food costs.
For households, rising inflation means pressure on mortgages, rents and food bills. Businesses will face higher energy and transport costs, which could squeeze margins and make it harder to invest or hire.
“For businesses, the real shock is going to be uncertainty and also borrowing costs,” said Jack Meaning, UK chief economist at Barclays.
