Today, the UK’s flagship FTSE 100 index broke through 9,000 points, soaring to its highest ever level. It’s been a standout year for the index, gaining over 10% in 2025.¹

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Let’s quickly dive in on why…

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What’s driving the rally?

The Financial Times² points to several key factors fuelling the FTSE 100’s record-breaking performance.
 

• International investors are increasingly turning to the UK, seeing better value compared to pricier US stocks. 
• A newly announced UK–US trade agreement has also boosted optimism, particularly for companies in export-heavy sectors.
• Big FTSE names in banking, energy, mining and defence, including BAE Systems, Rolls-Royce and BP, are reporting strong results,

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All these factors are driving the index higher and showing investor confidence in some of Britain’s most established firms.

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Why it matters for you 

The FTSE’s performance shows its resilience during uncertain times. Even when global markets wobble, which we’ve seen a lot with Trump in 2025, the UK’s biggest companies have held their ground. This can make the FTSE a solid foundation for any investment strategy.

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While the spotlight often shines on the US and tech stocks, this is a reminder that there are opportunities in other markets across the globe, and staying diversified ensures you’re primed to benefit.

How Chip can help you take advantage

With Chip, you can invest in funds that track the performance of indexes, including the FTSE 100, giving you access to the biggest companies in a single investment. It’s a simple, low-cost way to get involved.

You can open a Stocks & Shares ISA in minutes, invest from £1, and manage everything right from our app. Just go to the ‘Invest’ tab to get started.

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Source: 1 Guardian 2 Financial Times

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