JPMorgan's 3-to-5% Surcharge Forecast Hits UK Banks as Gilt Yields Rise to 5.10%
UK gilt yields hit 5.10% in mid-May 2026 as JPMorgan forecast a 3-to-5% banking surcharge, tightening the squeeze on UK financial institutions. Sterling fell against the dollar and euro amid political instability, with Starmer facing an 80-plus MP rebellion deepening fiscal uncertainty. Global higher-for-longer rates — with only a 1-in-3 chance of a US cut in 2026 — offer no relief.
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