Debt, Inflation, Politics: UK Bonds Are Taking a Triple Hit

As UK Prime Minister Keir Starmer slowly loses allies in government and fights for his survival, the escalating political drama is heaping fresh pressure onto a bond market already battered by the country’s deep-rooted fiscal and economic problems.

Yields on longer-dated gilts are at their highest in decades and above bonds of all Group-of-10 peers. The latest lurch higher came as Starmer faced increasing calls for his resignation after his party was trounced in local elections last week.