Morning Briefing: Friday 2 October 2026
- Filling up: Diesel is at a record 199.79p a litre, and Washington is pressing Europe to release strategic reserves while weighing a ban on American exports. Over half of Britain’s diesel is imported, 31% of it from the United States.
- Your mortgage: The ten-year gilt is down to 5.37% and the thirty-year back to 5.93%, both well below Thursday’s highs. Gilt yields set the benchmark for fixed-rate pricing, and the Budget is on 28 October.
- Your energy bill: The price cap rose to £1,723 yesterday and VAT on electricity is now zero until 31 March. Forecasters expect £1,999 by January.
Ethiopia and Eritrea Cut Diplomatic Ties as the War Widens
Ethiopia closed its embassy in Asmara and ordered ten Eritrean diplomats out within 48 hours, accusing them of activities threatening national security. Eritrea pre-empted the deadline by severing relations outright, calling the decision “…
Third Carrier Sails for Iran as a Supertanker Burns in Hormuz
The United States is sending a third aircraft carrier towards Iran, an American official said; by the end of November three carriers and two amphibious landing groups will be positioned around the country, layered on roughly fifty thousand…
Seoul Threatens Ukraine With 'Further Action' Over Prisoner Row
South Korea’s president has demanded a public apology from Ukraine for revealing that two North Korean prisoners of war had been sent to the South, and threatened unspecified “further action” if none comes. “This is a matter concerning the…
France Detains Nearly 2,000 Pupils in a Day as Schools Shut
Police counted about nine hundred demonstrations and blockades outside French high schools on Thursday, with more than 160 schools closed and access blocked to around thirty university campuses. The interior ministry said nearly three thou…
Brazil Votes Sunday With Lula and Bolsonaro Level
Brazilians go to the polls on Sunday in a first round that polling suggests is effectively tied between the incumbent Luiz Inácio Lula da Silva, who is eighty, and Flávio Bolsonaro, with twelve other candidates standing. If nobody clears 5…
Washington Presses Europe to Release Diesel as Trump Weighs Export Ban
Asked whether he would call on Europe to release its diesel reserves, Donald Trump said: “We may do that. They have some diesel.” He is weighing a ban on American exports. The Treasury Secretary Scott Bessent has urged Europe to make suppl…
Drumcree Talks Collapse and the Legal Challenge Slips to Monday
Talks at Hillsborough Castle ended without agreement, the Northern Ireland Secretary said: “I think this is the end of these conversations. We haven’t come to a settled agreement, and it’s a shame, but my door remains open.” A fresh legal…
Police Correct Fairford Arrest Detail as Tehran Calls In Ambassador
Counter-terror police have revised their account of Thursday’s arrest over the RAF Fairford incident. The man held in Westminster on suspicion of preparation of terrorist acts is 25, not 27, and police have withdrawn their earlier statemen…
Welsh First Minister Demands Policing and the Crown Estate
Rhun ap Iorwerth has written to the Prime Minister setting out a detailed case for transferring powers over policing and justice, rail infrastructure and the Crown Estate to Wales. In a 2,000-word letter he argues that “Wales should be abl…
Half of Fayed's Accusers May Be Trafficking Victims, MPs Told
Almost half of the women who reported allegations of sexual abuse by Mohamed Al Fayed to the Metropolitan Police are potential victims of human trafficking, MPs have been told. Senior officers said a review this year found seventy survivor…