UK gilt purchases surge 34% as yields hit levels not seen since 1998

When bond yields climb high enough, even the most equity-obsessed investor starts paying attention to the boring stuff. That moment appears to have arrived for British retail investors, who have been buying UK government bonds at a pace not seen in recent memory. Gilt purchases on the Hargreaves Lansdown platform surged 34% over the 30 days leading up to August 21, 2026, as a significant sell-off in the bond market pushed long-term yields to 5.83%, the highest level since 1998. For context, that’s higher than rates during most of the 2000s, the entire post-financial-crisis era, and the low-rate decade that followed. Why 5.83% is a number worth stopping at The sell-off was driven by concerns about the UK government’s fiscal deficit, heavy debt issuance globally including from major US tech companies, and simmering geopolitical tensions. The result: long-dated gilt yields reaching 5.83%, a figure that would have seemed implausible just a few years ago when the Bank of England’s base rate sat near zero. US Treasuries told a similar story at the same time. The 30-year Treasury yield approached 5.30%, near a two-decade high, suggesting the pressure on sovereign debt markets wasn’t a uni...