British government bonds performed worse than comparable bonds at the time of the oil price spike.

The pace of increase in UK government bond yields exceeds those of similar bonds in the Eurozone and the United States. The rising oil prices once again sparked concerns about inflation, which may prevent the Bank of England from lowering interest rates. Ipek Ozkardeskaya of Swissquote Bank said in a report, "The UK economy is highly sensitive to energy prices." The Bank of England is expected to maintain interest rates in its decision to be announced at 1200 Greenwich Mean Time. Meanwhile, data from the London Stock Exchange Group shows that the probability of a rate hike by the Bank of England in June reflected in the UK money markets is 60%. Ozkardeskaya said, "The higher energy prices climb, the further away the dream of the Bank of England cutting rates becomes." Data from Tradeweb shows that the UK's 10-year government bond yield increased by 6.5 basis points to 4.816%.