UK average mortgage rates have risen to their highest level in a month, driven by increased lender funding costs as markets price in prolonged Middle East conflict and reduced likelihood of central bank interest rate cuts. The average two-year fixed rate is 5.59%, and the five-year fixed rate is 5.61%. Renewed Middle East tensions, including fresh strikes and Houthi attacks on oil tankers in the Red Sea, have driven up lender funding costs and pushed oil prices to $100 a barrel. Major banks including HSBC have raised rates, and over 100 mortgage deals have been temporarily pulled. The Bank of England projects over five million homeowners will face higher monthly repayments by end of 2028.

Multiple wildfires are burning across Wales, with the largest at Rhinogydd mountains in Gwynedd covering an estimated 951 hectares. Satellite images from NASA show heat signatures at four locations. The Welsh government has activated crisis management arrangements, and a specialist firefighting helicopter has been deployed. Authorities urge the public to avoid affected areas as fires continue to burn in challenging conditions.

The UK is expected to experience a fourth heatwave next week, with temperatures potentially reaching 35°C in parts of England and Wales. High pressure building near the south will bring hot, dry conditions, while northern and western areas remain cooler. Some locations, such as Usk and Exeter, have already recorded 20 consecutive days of heatwave conditions. The prolonged heat raises concerns about water shortages and wildfire risk. The Met Office notes that isolated high temperatures may not be sufficient to declare a heatwave if only one or two stations meet the criteria.

Lieutenant General Tom Bateman assumed command of the Multinational Force Ukraine (MNF-U) from his French counterpart in Paris. The force, declared 'Ready to Operate' by the Coalition of the Willing, will conduct exercises and, in the event of a ceasefire, work to strengthen Ukraine's armed forces through training and equipment replenishment, and patrol skies and seas to enable economic recovery. The handover is a planned rotation between the UK and France, underscoring continued Western commitment to Ukraine's long-term security.

The UK previously confirmed SSN-AUKUS construction will begin in the late 2020s with over £6 billion in infrastructure investment. In a new development, Australia announced an additional €2.8 billion (A$4.6 billion) for the Osborne naval shipyard near Adelaide to build five SSN-AUKUS submarines, bringing total infrastructure spending at the site to over A$8.5 billion and overall AUKUS infrastructure investment to over €10 billion. The total program cost is estimated at €220 billion over 30 years. The announcement was made by Australian Defence Minister Richard Marles on 24 July.

UK online retail sales reached their highest share in five years in June 2024, driven by record heat and World Cup spending. The ONS reported a 1% month-on-month rise in retail sales volume, beating expectations, with non-store retailers up 4.4%. Clothing and footwear also saw strong growth, though department stores declined. Analysts noted potential headwinds from energy prices and interest rates.

British consumer goods company Reckitt Benckiser announced it will incur a £175 million charge from the sale of its Russian hygiene business, as Western firms continue to exit Russia following the invasion of Ukraine. The move reflects ongoing corporate divestment pressures.