The government is facing higher repayments on borrowed money with experts warning Rachel Reeves ’ headroom could be cut by as much as £6bn this year if bond yields remain elevated. Yields on ten-year government bonds , or gilts , move in response to political pressures, instability or unexpected economic conditions across the mid-to-longer term. With Labour’s leadership concerns and the inflation-inducing war on Iran by president Trump dominating global affairs, the bond yield has increased significantly over the past few months, rising to above 5 per cent and sitting near levels not seen since the 2008 financial crisis. On Tuesday, the ten-year yield reached 5.1 per cent, before falling back very slightly by Wednesday morning, sitting at around 5.06 per cent, partly in response to prime minister Sir Keir Starmer remaining in place despite suggestion he could resign or be forced out .…