UK official statistics (ONS, Bank of England, DEFRA, HMRC, DBT, and DfT) ·
UK gilt yields ease before the Budget, led by long bonds; Bank Rate holds at 3.75%
UK government bond (gilt) yields, the cost of government borrowing, fell before the Budget. The 10-year yield was 5.32% on Oct 23, down from 5.43% on Oct 8. Bank Rate stayed at 3.75%.
A data update from FactIQ, written from UK official statistics (ONS, Bank of England, DEFRA, HMRC, DBT, and DfT) figures. What is FactIQ?
Key figures
- UK 10-year government bond yield, Oct 23
- 5.32%down from a 5.43% peak on Oct 82026-08-182026-10-23Yield from British Government Securities - 10 year Nominal Par Yield
- UK 20-year government bond yield, Oct 23
- 5.62%down from 5.79% on Oct 82026-08-182026-10-23Yield from British Government Securities - 20 year Nominal Par Yield
- US dollars per pound, Oct 26
- 1.3347up from 1.3160 on Oct 142026-08-192026-10-26Spot exchange rate - US $ into Sterling
- Bank of England official Bank Rate
- 3.75%unchanged2026-08-192026-10-26Official Bank Rate
Long-dated gilts did best in the run-up to the Budget
Gilts are bonds issued by the UK government. Their yields set the government's borrowing costs. The Bank of England data cover the days before the Budget. The figures are nominal par yields, a standard measure of what each maturity pays.
- 20-year yield: 5.62% on Oct 23, down about 17 basis points (hundredths of a percentage point) from 5.79% on Oct 8.
- 10-year yield: 5.32% on Oct 23, down from a peak of 5.43% on Oct 8. It touched 5.28% on Oct 22.
- 5-year yield: 4.94%, against 4.99% on Oct 8.
The gap between 5-year and 20-year yields narrowed from about 79 basis points to about 68 basis points. This fits investors moving into longer gilts on bets that the Budget will keep spending tight.
The pound held firm against major currencies
- US dollars per pound: 1.3347 on Oct 26, up from 1.3160 on Oct 14.
- Euros per pound: 1.1940, up from 1.1796 in early October.
- Sterling effective exchange rate index, which tracks the pound against a basket of trading partners' currencies: 86.01, compared with 85.16 in mid-October.
- Yen per pound: 210.31.
Short-term interest rates have not moved yet
The Bank of England's official Bank Rate, its main policy interest rate, stays at 3.75%. The Sterling Overnight Index Average (SONIA), the average rate banks pay to borrow overnight, is steady at around 3.734%. Neither rate has moved, despite talk of a rate rise after the jump in September inflation. Yield and SONIA data run to Oct 23. Exchange rate and Bank Rate data run to Oct 26.
Source: UK official statistics (ONS, Bank of England, DEFRA, HMRC, DBT, and DfT). See all UK data in FactIQ.