Ten-year gilts have risen well above 5% this year on the back of the Iran war

Higher rates on the bonds will therefore mean that it costs UK more in order to borrow money

UK 10-year gilt yields hit 5.21%, the highest since 2008, piling pressure on the Burnham government ahead of its first Budget on October 28.

UK government bond yields climbed to fresh 18-year highs as a global sovereign debt selloff intensified amid rising oil prices and renewed inflation concerns. Higher borrowing…