Iran seized two commercial vessels near the Strait of Hormuz as attempts to revive talks falter. The US extended a limited truce while sustaining maritime pressure, driving oil above $100. Shipping bodies warn of risks to crews, and insurers and traders begin to re-route traffic.

Sir Olly Robbins says No 10 pressured him to clear a role for Peter Mandelson, which he approved “under duress”. The claim intensifies scrutiny of Starmer and raises questions about the propriety and independence of the government appointments vetting process.

Starmer says officials deliberately withheld information about Mandelson’s vetting before his proposed posting to Washington. He faced a tough Commons session, ordered an inquiry, and the sacked FCDO chief will testify, amid unease on Labour’s benches.

Economists warn tensions centred on Iran will push up energy and shipping costs, keeping US inflation high even after conditions ease. Dearer petrol and insurance on key sea lanes could slow growth, strain household budgets and complicate the Fed’s stance into election season.