The United Kingdom has raised 4.25 billion pounds by selling more of its bonds maturing in 2056, with the issuance yield coming in at 5.8168%.

This marks the highest yield the UK government has paid on debt issuance since at least the founding of the Debt Management Office in 1998.

According to sources familiar with the matter, the pricing came in at 0.75 basis points above the yield on the existing 4.25% bond maturing in December 2055. The sources requested anonymity as the details are not public.

The sale attracted bids totaling 85 billion pounds, implying a bid-to-cover ratio of 20 times. The new bond carries a coupon of 5.375%.

Joint bookrunners on the deal were BofA Securities, Goldman Sachs International Bank, JPMorgan, Santander and UBS Investment Bank.

Where investors might look next: This record-high yield signals the market's growing demand for compensation tied to longer-dated UK debt, a trend that may shape future gilt supply strategies.