Yield curve
Gross redemption yield by years to maturity
71 conventional gilts, at the close on 2026-10-05
Each dot is a conventional gilt, priced from its latest close; select one to open it. The line is a Svensson curve fitted through all of them, which smooths out gilts that trade off the curve. Low-coupon gilts tend to sit below it, because most of their return is a capital-gains-tax-free gain to par, which taxpayers bid up. Index-linked gilts are not shown. Every figure is in the gilts table. The dashed line is the Bank of England's nominal spot curve for 2026-10-02: zero-coupon rates fitted to the same gilts, so close to but not the same as their redemption yields.
Real yields and implied inflation
Bank of England spot curves, 2026-10-02
The real yield is what index-linked gilts pay above RPI inflation. Implied inflation is the gap between nominal and real yields: the RPI inflation, averaged to each maturity, at which conventional and index-linked gilts would return the same. If inflation runs above it, index-linked gilts come out ahead. From 2030 RPI is to be calculated like CPIH, which tends to run lower, and longer-dated figures already reflect that. Source: Bank of England yield curves.