UK defence stocks rise on Healey appointment; oil tops $90
10 reported
The UK's FTSE 100 index opened 0.3% lower on July 21, 2026, but defence stocks rallied after former defence secretary John Healey was appointed chancellor. Babcock International rose 4%, BAE Systems gained 2.4%, and Qinetiq increased 3.5% in the FTSE 250. Investors hope Healey will boost defence spending, possibly through "defence bonds" he previously advocated. However, IG chief market analyst Chris Beauchamp warned the appointment does not guarantee an immediate windfall for defence, as Healey faces competing demands. Separately, Brent crude oil rose 1% to $90.21 a barrel after the Houthi movement threatened an attack on Saudi Arabian ports. The International Energy Agency said it is monitoring the situation, noting that Gulf exports remain below late-June highs but above levels seen from early March to mid-June.
What’s reported
UK FTSE 100 opened down 0.3% on July 21, 2026.
Babcock International up 4%, BAE Systems up 2.4%, Qinetiq up 3.5%.
John Healey, former defence secretary, appointed chancellor.
Brent crude rose 1% to $90.21 a barrel.
Houthis emailed shipping companies with warnings about Saudi ports.
IEA released 290 million barrels of oil from emergency stock since March.
London Stock Exchange announced plans for 24-hour trading venue "LSE 24".
UK grocery inflation eased to 2.6% in four weeks to July 12, lowest since December 2024.
Thames Water investors offered government a "golden share" to avoid nationalisation.
Donald Trump said he will impose 50% tariffs on most Canadian goods.
Key figures
John Healey, chancellor and former defence secretary
Chris Beauchamp, chief market analyst at IG
Fatih Birol, executive director of the International Energy Agency
Julia Hoggett, chief executive of the London Stock Exchange
Caitlin Boswell, deputy director at Tax Justice UK
Adam Scorer, chief executive of National Energy Action
Fraser McKevitt, head of retail and consumer insight at Worldpanel
Andy Burnham, prime minister
Donald Trump, former US president
Sources: The Guardian
