Due to concerns over escalating tensions in the Middle East, the yield on UK government bonds has increased.

The yield on UK government bonds is climbing, as the market remains cautious due to concerns about the possibility of escalating tensions in the Middle East. President Trump has set a deadline for reaching a ceasefire agreement with Iran on Tuesday, and if an agreement is not reached by then, the US may target key infrastructure in Iran. The sharp increase in oil prices has reignited concerns about rising energy costs leading to inflation and pushing up bond yields. According to Tradeweb data, the yield on 10-year UK government bonds has risen by 3 basis points to 4.873%.