LONDON — The FTSE 100 index edged higher Tuesday, reaching 10,461.88 points by mid-morning trading on April 7, 2026, as gains in energy and defensive stocks offset broader caution stemming from escalating geopolitical risks in the Middle East.

The blue-chip benchmark rose 25.59 points, or 0.25%, from the previous close of 10,436.29 set on April 2. It traded within a range of 10,399.45 to 10,487.67 during the session, according to data reported at 09:57:33 BST. All figures were delayed by at least 15 minutes as markets remained active.

The modest advance came as investors weighed fresh developments around U.S. President Donald Trump’s deadline for Iran to reopen the Strait of Hormuz, with oil prices fluctuating amid fears of supply disruptions. Energy giants such as Shell and BP provided support, benefiting from elevated crude benchmarks even as some analysts warned of potential demand destruction if conflict intensifies.

Banking and mining shares showed mixed performance, reflecting ongoing sensitivity to interest rate expectations from the Bank of England and global growth concerns. Defensive sectors including pharmaceuticals and consumer staples offered stability, helping limit downside on a day when European peers traded in a narrow band.

The FTSE 100 has displayed resilience in early April after a volatile first quarter marked by sharp swings tied to Middle East tensions. The index had recovered some ground following a period in March when it briefly erased all 2026 gains amid oil price spikes above $110 per barrel. Tuesday’s small uptick extended a pattern of cautious optimism as traders awaited clearer signals on monetary policy and diplomatic outcomes.

Analysts noted that the UK market’s heavy weighting toward energy, financials and materials leaves it particularly exposed to commodity cycles and geopolitical headlines. With Brent crude hovering near elevated levels, oil majors contributed positively to the index, counterbalancing any weakness in export-oriented or rate-sensitive names.

Broader market sentiment remained guarded. Investors continued monitoring Trump’s repeated warnings of potential strikes on Iranian infrastructure, including power plants and bridges, should Tehran fail to comply with the latest deadline. Such developments have kept volatility elevated across global equities, with the FTSE 100 oscillating around the psychologically important 10,400-10,500 zone in recent sessions.

Year-to-date performance for the FTSE 100 in 2026 has been uneven. The index enjoyed strong gains earlier in the year, briefly pushing toward record territory above 10,900 points in February before retreating sharply on conflict-related fears. By early April, it had clawed back some losses but remained below its 2026 peak.

Tuesday’s trading volume appeared moderate for a midweek session, consistent with lighter activity often seen when major U.S. markets are closed or when headlines dominate over corporate earnings. No major UK earnings releases dominated the calendar, shifting focus to macroeconomic and geopolitical factors.

Sector leaders on the day included energy firms riding the oil wave, while utilities and healthcare names provided a buffer. Conversely, some technology and consumer discretionary stocks lagged as risk appetite stayed restrained.

The pound sterling traded softer against the dollar, reflecting mixed UK economic data and global safe-haven flows. A weaker currency can support multinational earnings within the FTSE 100 when translated back to sterling, offering another tailwind for the index on export-heavy days.

Looking ahead, market participants await the next Bank of England policy decision and inflation readings. Expectations for gradual rate cuts have been tempered by persistent inflationary pressures linked to energy costs. Any dovish signals could further support equities, particularly rate-sensitive sectors like real estate and banking.

The FTSE 100’s composition — dominated by established multinational corporations — has historically provided a degree of insulation during periods of global uncertainty compared with more growth-oriented indices. However, its underperformance relative to U.S. benchmarks in recent years has prompted ongoing debate about UK market valuations and attractiveness to international investors.

Some strategists argue the index offers compelling dividend yields and undervalued cyclical stocks, particularly in banking and resources, should geopolitical risks ease. Others caution that prolonged Middle East instability could weigh on global growth and commodity demand, capping upside.

As of mid-morning Tuesday, the intraday high of 10,487.67 suggested buyers were testing resistance near recent swing levels, while the low of 10,399.45 indicated underlying caution. The 0.25% gain represented a measured step rather than a decisive breakout, aligning with choppy conditions seen across European bourses.

Broader European indices showed similar modest moves, with the STOXX 600 and CAC 40 trading in narrow ranges. Wall Street futures pointed to a potentially quiet open later in the day, pending any fresh headlines from Washington or Tehran.

For UK investors, the FTSE 100 remains a core benchmark for pension funds and passive strategies. Its performance carries significant implications for retirement portfolios given the index’s prominence in domestic savings products.

Tuesday’s data underscored the market’s ability to absorb geopolitical noise without sharp sell-offs, a resilience tested repeatedly since late February when tensions first escalated. Oil prices, while elevated, had not yet triggered the kind of sustained demand destruction feared by some economists.

Analysts will continue watching for signs of rotation between defensive and cyclical stocks as the week progresses. Corporate earnings seasons in the coming months could provide fresh catalysts, particularly from banking heavyweights and energy majors reporting on first-quarter results.

In the longer term, structural questions persist about the FTSE 100’s growth prospects amid slower UK economic expansion compared with the United States. Initiatives to boost domestic investment and listings have gained attention, though tangible shifts remain gradual.

As trading continued into the London afternoon, the index hovered near the 10,460 level. Investors appeared content with small gains while monitoring developments that could rapidly alter risk sentiment.

The session served as a reminder of the delicate balance global markets navigate between corporate fundamentals and headline-driven volatility. With the FTSE 100 closing the previous session at 10,436.29 after a 0.69% advance on April 2, Tuesday’s continuation suggested steady but unspectacular momentum.

Whether the index can sustain gains and push toward the upper end of its recent range will depend largely on de-escalation signals from the Middle East and domestic policy clarity. For now, the modest 0.25% rise offered a steady start to the trading week for UK equities.

Kate Alessi, Google’s managing director for the UK and Ireland, has pushed back firmly against warnings that artificial intelligence will trigger widespread unemployment, insisting that the greater risk lies in failing to equip workers with the skills to thrive alongside the technology.

Speaking as Google unveiled a new national upskilling programme backed by £2 million in grant funding from Google.org, Alessi argued that history offered a reassuring precedent. Every previous wave of technological disruption, she noted, had prompted the same anxieties about disappearing jobs – and every time, the fears had proved overblown as new roles emerged to replace the old.

Her intervention comes at a pointed moment. In January, the Mayor of London, Sadiq Khan, cautioned that AI could bring about a new era of mass unemployment without proper oversight, while Bank of England governor Andrew Bailey drew comparisons with the Industrial Revolution, stressing the need for retraining and education on a significant scale.

Alessi does not deny that change is coming, but she frames it rather differently. Citing research from the policy consultancy Public First, she pointed out that roughly six in ten UK jobs are expected to be enhanced rather than eliminated by AI. The challenge, she maintained, is ensuring that people are prepared to step into the roles the technology creates, not simply bracing for the ones it displaces.

The figures suggest there is considerable ground to make up. According to new research commissioned by Google, although nearly two thirds of the UK population have tried AI tools, just one in ten consider themselves advanced users. Only a quarter felt they were deploying AI in ways that saved them meaningful time or gave them genuinely new capabilities.

“Most people are really only scratching the surface,” Alessi said.

To address that gap, Google is rolling out a series of practical initiatives. Alongside the grant funding, the company plans to run Gemini tours across universities, aimed at ensuring graduates enter the workplace with a working knowledge of AI. It will also stage a series of pop-up events branded as “squeeze the juice” bars in towns and cities around the country, designed to show ordinary users how to move beyond basic prompting to tackle more complex tasks – from automating routine admin to conducting in-depth research.

Jamie Young

Jamie is Senior Reporter at Business Matters, bringing over a decade of experience in UK SME business reporting.
Jamie holds a degree in Business Administration and regularly participates in industry conferences and workshops.

When not reporting on the latest business developments, Jamie is passionate about mentoring up-and-coming journalists and entrepreneurs to inspire the next generation of business leaders.

Chris Rhodes is set to retire in September following the completion of the £2.9bn takeover

The chief executive of Virgin Money is poised to leave the company later this year as the UK lender becomes fully integrated into the Nationwide umbrella.

Chris Rhodes assumed leadership at Virgin Money following its acquisition by Swindon-headquartered Nationwide in late 2024. Prior to this role, Rhodes held the position of finance chief at the UK’s largest building society for more than five years.

On Tuesday, Nationwide announced Rhodes would step down in September 2026.

Dame Debbie Crosbie, chief executive of Nationwide, said Rhodes “steadied and strengthened the Virgin Money business” over the past 18 months.

The building society giant struck a deal for the then FTSE 250-listed Virgin Money in March for approximately £2.9bn.

The firm subsequently secured around £2.3bn from the acquisition, which raised questions about Virgin’s leadership decision to accept a deal that some felt undervalued the bank, which held a £4.4bn book value, as reported by City AM.

The acquisition – finalised at the beginning of October – helped create the UK’s second-largest retail banking provider, ahead of NatWest and behind Lloyds Banking Group.

Nationwide confirmed the completion of a legal mechanism known as Part VII Transfer on Tuesday, which enables a bank to transfer all its customers, accounts, and contracts to another bank without requiring individual consent from every single customer.

his paves the way for Virgin Money and Nationwide to be merged into a single organisation, with suggestions that a replacement for Rhodes will not be necessary.

The procedure encompasses the whole of Clydesdale Bank, which is the legal entity that owned Virgin Money and Yorkshire Bank.

As part of the arrangement, Nationwide therefore assumes responsibility for customer accounts, mortgages, credit cards, data and banking contracts at the former brands.

English business magnate Sir Richard Branson established Virgin Money in March 1995, initially known as Virgin Direct.

Branson secured a windfall of approximately £724m from the transaction with Nationwide, which comprised £414m for his 14.5 per cent stake.

The balance of the sum derived from Nationwide agreeing to pay for the use of the Virgin Money brand – a fee that includes £15m in annual royalties for the first four years as well as a £250m exit fee, which positions the brand to vanish from the high street within six years from the date of the acquisition.

SYDNEY — Australia’s electric vehicle market has surged in 2026, with sales climbing sharply as more affordable models from Chinese brands challenge established players like Tesla. As of early April, EVs are on track to capture over 15% of new car sales nationally, driven by competitive pricing, improved range and expanding charging infrastructure.

With dozens of options now available, buyers face a crowded field spanning budget city cars to family SUVs and premium performance models. Factors such as driveaway pricing, real-world range, safety ratings, warranty coverage, charging speed and ownership costs help narrow the choices.

Here are five of the strongest contenders for Australian buyers in 2026, selected for their combination of value, popularity, performance and practicality based on recent sales data, expert reviews and awards from Drive Car of the Year and other sources.

BYD Atto 2 — Best budget small SUV under $40,000 The BYD Atto 2 has emerged as a standout winner in the sub-$40,000 electric vehicle category, earning recognition as the best electric vehicle under $40k at Drive Car of the Year 2026. Positioned below the Atto 3, this compact SUV delivers premium features without heavy cost-cutting, including a spacious interior, decent cargo capacity and competitive specifications for urban and suburban driving.

Driveaway prices start around $35,000–$40,000 depending on variant and state incentives, making it accessible for first-time EV buyers. It offers a WLTP range of approximately 400–450km in higher trims, with efficient battery management that performs well in mixed Australian conditions. Standard equipment includes advanced driver assistance systems, a large touchscreen infotainment setup and comfortable seating for five.

Buyers praise its build quality, quiet cabin and low running costs, with many noting it feels more premium than its price suggests. As one of the top-selling BYD models year-to-date, the Atto 2 benefits from the brand’s expanding dealer network and strong after-sales support. It suits commuters and small families seeking an affordable entry into electric motoring without sacrificing everyday usability.

Tesla Model Y — Australia’s best-selling EV and versatile family SUV The Tesla Model Y continues to dominate Australian EV sales charts in 2026, with thousands of units moved monthly and year-to-date figures leading the pack. Available in rear-wheel-drive, Long Range and Performance variants, it offers exceptional range — up to 681km WLTP in top configurations — along with Tesla’s renowned Supercharger network, over-the-air software updates and minimalist yet highly functional interior.

Driveaway pricing begins around $58,900 for the base rear-wheel-drive model, positioning it as a premium yet attainable family hauler. Its spacious cabin, large boot and frunk provide genuine practicality, while acceleration and handling impress drivers seeking both efficiency and fun. Safety features, including Autopilot, contribute to strong ANCAP ratings.

Despite competition from Chinese rivals, the Model Y retains loyalty through its ecosystem, rapid charging capability and regular improvements delivered wirelessly. It appeals to tech-savvy buyers and those planning long road trips across Australia’s vast distances. Analysts credit its sustained popularity to proven reliability and the convenience of Tesla’s charging infrastructure.

Zeekr 7X — Premium electric SUV with standout value and features The Zeekr 7X has quickly gained attention as one of the most impressive new electric SUVs in Australia, often undercutting the Tesla Model Y on price while offering superior standard equipment and a luxurious cabin feel. Priced from around $57,900 before on-roads, it delivers up to 615km WLTP range and a refined driving experience that reviewers describe as belonging in a vehicle costing significantly more.

Buyers highlight the high-quality interior materials, advanced technology suite and comfortable ride quality. Strong sales figures place it among the top performers in early 2026, reflecting growing consumer confidence in Geely-owned brands. Features such as fast charging, comprehensive safety systems and spacious accommodation make it ideal for families or those upgrading from conventional SUVs.

The Zeekr 7X represents the maturing Chinese EV segment, combining cutting-edge battery technology with practical Australian-suited attributes like generous ground clearance and efficient thermal management for varying climates. It stands out for those wanting premium features at a more accessible price point than traditional European or American alternatives.

Geely EX5 — Affordable family SUV delivering exceptional value Frequently cited as unbeatable value around the $45,000 mark, the Geely EX5 offers a compelling package of space, equipment and efficiency that surprises many buyers. With competitive range figures around 475km WLTP and a feature-packed cabin, it provides a strong alternative for families seeking a mid-size electric SUV without stretching budgets.

Reviewers note its comfortable ride, modern infotainment and solid build quality, often comparing it favorably to more expensive rivals. Year-to-date sales have been robust, underscoring its appeal in a market increasingly dominated by value-driven Chinese offerings. The EX5 benefits from Geely’s engineering expertise, delivering refined dynamics and reliable performance suited to daily commuting and weekend getaways.

Its balance of price, practicality and technology makes it a smart choice for buyers prioritizing bang-for-buck in the growing affordable EV segment. Additional perks such as competitive warranties and improving dealer support further enhance its ownership proposition.

BYD Sealion 7 — High-performing electric SUV with strong sales momentum The BYD Sealion 7 has rocketed up the sales charts in 2026, consistently ranking near the top alongside the Tesla Model Y. This mid-size electric SUV combines striking design, impressive performance and a competitive range that appeals to buyers seeking style and substance.

Available in multiple variants with driveaway prices starting in the mid-$50,000 range, it offers strong acceleration, refined handling and a premium interior experience. Real-world range supports longer journeys, while fast-charging capability minimizes downtime. Its success reflects BYD’s aggressive pricing strategy and expanding model lineup tailored to Australian preferences.

The Sealion 7 excels as a versatile family vehicle with modern safety technology and efficient powertrain. High sales volumes indicate broad consumer acceptance, making it a safe recommendation for those wanting a well-rounded EV from a brand with proven local momentum.

Australia’s EV landscape in 2026 features rapidly falling prices, with several models now available under $35,000 driveaway and more than 20 options below $40,000. State and federal incentives, including potential FBT exemptions via novated leases (though under review), continue to influence affordability, alongside expanding public and home charging options.

Buyers should consider individual needs such as daily commute distance, family size, budget and access to charging. Real-world range can vary based on driving style, weather and load, while total cost of ownership benefits from lower fuel and maintenance expenses compared with petrol or diesel vehicles.

Experts recommend test-driving multiple options and checking current driveaway pricing, which fluctuates with promotions and on-road costs varying by state. Warranty coverage — often 6–8 years on vehicles and longer on batteries — provides reassurance, as does improving resale value as the market matures.

As charging infrastructure grows and battery technology advances, the five models highlighted represent a cross-section of today’s best choices: affordable entry points, proven best-sellers, value-packed newcomers and premium performers. Whether prioritizing cost savings, long-range capability or luxurious features, Australian buyers have more compelling electric options than ever in 2026.

The shift toward EVs reflects broader environmental goals and economic realities, with running costs significantly lower for most households. As sales momentum builds, these top contenders are helping drive the transition to cleaner, quieter motoring across the country.