UK borrowing costs jump again on fears Iran conflict will curb growth

Investors fear rising oil and gas costs will stoke inflation and delay cuts in interest rates

UK borrowing costs jumped for a second day on Tuesday as the potentially damaging effects of the Iran conflict spooked investors concerned that growth will stall across the major industrial economies.

Investors fear inflation will rise, driven by rising oil and gas prices, hitting businesses and households just as they are recovering from a long period of elevated inflation.