G7 countries agreed to release 100 million barrels from strategic reserves to help cool oil prices, while Russia extended a diesel export ban that has pushed its shipments down about 40%. A JP Morgan note said total Gulf exports have fallen by roughly 11% from prewar levels even after factoring in Iranian output constrained by a U.S. blockade. The report also pointed to signs that tensions around the Strait of Hormuz may be easing.

UK government borrowing costs have climbed to their highest level since the 2007 financial crisis after a jump in oil prices stoked inflation fears and prompted investors to sell sovereign debt. Brent crude briefly rose as much as 6% to $108 a barrel, pushing up government bond yields in France, Germany, Italy and Japan as well. The UK 10-year gilt yield was 4.9% in July, and each 1 percentage point rise adds an estimated £12 billion to the Exchequer’s costs.

UK diesel prices hit a record 199.18p per litre on Monday, while the country has only 42 days of diesel in reserve, the world’s second-lowest level. The government fears that any move by the US to restrict diesel exports could tighten supply further and lift prices at the pump. The average price of unleaded petrol is 174.13p per litre, putting the cost of filling a typical family car close to £96.

A technical fault at the UK’s air traffic control provider Nats triggered widespread delays across northern England, Scotland and Northern Ireland, marking the second similar incident within a month. Officials said the disruption was unrelated to the six-hour outage on September 8. By lunchtime, more than 200 flights had been cancelled, while Ryanair said over 25,000 passengers were affected and more than 140 of its flights were delayed by more than three hours.

The NHS has agreed to roll out AstraZeneca’s breast cancer drug Enhertu in England after years of disputes over its cost. The drug had previously been rejected in 2024 because it failed NICE’s cost-effectiveness criteria, but it will now be available from Thursday following a confidential price deal. The government also raised the NHS cost-effectiveness threshold in April, after President Donald Trump threatened a 100% tariff on pharmaceutical exports to the US unless the UK spent more on medicines.

UK average earnings including bonuses rose 3.9% year on year in the three months to July, the weakest pace since November 2020 and down from 4.2% previously. Private-sector pay growth excluding bonuses eased to 2.9%, while the unemployment rate held at 4.9% in line with expectations. The Bank of England has said wage growth needs to settle in the 2-3% range to keep inflation stable at its 2% target.