The UK’s FTSE 100 on Friday rose above 10,000 points for the first time, the latest sign of surging stock markets around the world.
The blue-chip index has been close to the milestone mark in recent months after a knockout 2025 in which it rose by 21.5 per cent – the most since 2009 – outperforming Europe's broad STOXX 600 index and the S&P 500.
It hit an all-time intraday trading high within the first hour on Friday, after rising by as much as 0.8 per cent to reach 10,018.5, nearly 90 points higher, as traders returned from the New Year holiday.
“This is a historic moment and already makes 2026 one of the most significant years for the blue-chip index since its launch in 1984," said Dan Coatsworth, head of markets at AJ Bell.
“Breaking through the 10,000 level is the best New Year’s present Chancellor Rachel Reeves could want. She has been banging the drum about the merits of investing over parking cash in the bank and the FTSE 100’s achievements just go to show what’s possible when buying UK shares. It also proves to cynics that the UK market is not stuck in the mud and that the US stock market is not the only place to make money.”
London’s top tier was strengthened by the soaring share prices of some of its constituents, including precious metal miners, defence and financial services companies over 2025. Its longer-term gains largely reflect euphoria towards stocks worldwide thanks to a rally in artificial intelligence, although British stock markets are not very exposed to the sector.
Instead, its biggest gainers in 2025 included miners such as Fresnillo, boosted by surging precious metal prices, and defence companies such as Babcock and Rolls-Royce, as Europe increased spending. Other major gainers included banks such as Lloyds, which benefitted from elevated interest rates alongside decent economic growth.
The FTSE, weighted heavily towards internationally focused companies, has also outperformed the domestically focused mid-cap FTSE 250. That rose by about 9 per cent in 2025.
Still, the blue-chip index has lagged behind markets such as Japan, Hong Kong, Spain and Italy.
The milestone could help to boost sentiment towards UK markets, which have been battered in recent years by political instability, post-Brexit uncertainty, concerns about high debt and a lacklustre performance for the British economy in general.
There were 11 new listings on the London Stock Exchange in 2025, analysis from PwC shows, raising £1.9 billion ($2.5 billion) in total proceeds. This was the highest since 2021, when £16.8 billion was raised, and is more than double last year's £700 million.
