Borrowing cost surge leaves Healey with £10bn headache

5:31PM Worst day for FTSE-250 since March Link copied to clipboard The FTSE-250 plunged in its biggest one-day loss since March as inflation fears sent global borrowing costs soaring.London’s midcap stock index dropped by 1.67pc on Tuesday, its largest fall since the start of the war in Iran sent global markets into turmoil in the spring.Interest rate rises, which will increase costs for UK businesses, are looking increasingly likely as fresh escalation in the Middle East conflict adds to inflation concerns. Government bond yields surged to their highest level since 2008 while investors are now pricing in 0.31 percentage points in Bank of England rate rises by the end of the year, up from 0.24 percentage points last week. The bluechip FTSE-100 index, which is more export-focused and is the