UK government borrowing costs rose on May 11 as markets reacted to political uncertainty around Keir Starmer and a speech that failed to calm investor jitters. Reporting said 10-year gilts reached 5% and 30-year yields rose to around 5.68%.
UK government borrowing costs rose on Monday as investors reacted to political uncertainty around Keir Starmer and a speech that failed to calm bond markets.
Reporting from The Guardian, The Times and MarketWatch said 10-year gilt yields climbed to 5%, while 30-year borrowing costs rose to around 5.67% to 5.68%.
Why markets moved
The move was linked to concerns about leadership uncertainty, a more activist government signal and lingering inflation worries. Market coverage said Starmer’s remarks did not do enough to reassure investors.
The same day, the UK government published a press release saying Starmer had announced legislation to give the government the option of bringing British Steel into public ownership.
What to watch next
The key question for markets is whether gilt yields hold at these levels through the trading session or ease later in the day. Any further government commentary, or additional policy announcements, could influence the market response.
For now, the bond move adds to pressure on Starmer as investors assess the political and fiscal outlook.
Revision note
Initial automated publication.