Latest news for 2 September 2025

UK

Market moves.

The rate on the UK’s 30-year bonds has hit its highest since 1998 (yes, even higher than when Liz Truss got ousted), as markets query the Starmer government’s ability to get the country’s finances back on track ahead of the autumn budget. (Bloomberg $)

Comment: Bonds everywhere are having a moment (hence gold also hitting new records), but the UK risks a doom loop unless it can figure out some way to raise revenue (taxes) without hitting growth.

SUDAN

Landslide.

A landslide triggered by heavy rains has left a reported 1,000 dead in western Sudan, where many had just sought refuge from the ongoing civil war. (DW)

JAPAN

Full steam ahead.

The UK and Japan have reiterated their commitment to jointly developing (with Italy) sixth-generation fighter jets by 2035. (UKDJ)

Comment: This doubling-down on their ‘Global Combat Air Programme’ comes just as various allies move to cancel their F-35 orders with the US, though it involves several firsts for all involved (both technologically and cooperatively). Meanwhile, Norway just chose the UK to help deliver Oslo’s next five naval frigates from 2029.

EUROPEAN UNION

What you von der Playen?

Just after Bulgarian authorities blamed Moscow for jamming the EU chief’s jet navigation, Germany’s top general has revealed he’s had two similar experiences (once during a flight over the Baltic, then again during a visit to Lithuania). (BBC)

Comment: There’s a running joke how the EU only ever expresses “concern”, no matter how outrageous the events. On this occasion, however, von der Leyen dialled her words up a little, declaring “Putin has not changed, and he will not change. He is a predator. He can only be kept in check through strong deterrence."

THAILAND

You’re fired.

A Thai court finally ousted Paetongtarn Shinawatra as prime minister on Friday, weeks after Cambodia leaked a phone call in which she criticised the (powerful) Thai military. The jostling to replace her continues, but political gridlock in Thailand tends to always benefit one player either way (the military). (Straits Times)

ARGENTINA

Hot water.

President Milei is rejecting corruption allegations after leaked phone recordings purported to incriminate him and his sister/chief of staff in a national disability agency embezzlement scheme. (F24)Comment: Argentina’s mid-term legislative elections next month are shaping up as the first real test for Milei, whose drastic spending cuts have managed to slash inflation, but have also entailed widespread hardship.

EGYPT

That’s a little harsh.

It turns out authorities have been detaining dozens of young TikTokkers on charges ranging from indecency to money laundering. They include 19-year-old Mariam Ayman, who (with 9.4 million followers) has now been in jail for a month. (ABC)