A software defect in the UK's air traffic control system caused a six-hour outage last week, resulting in widespread flight cancellations and delays across the country. Meanwhile, Japan's central bank has raised interest rates to their highest level in 31 years as central banks worldwide attempt to combat inflation linked to Middle Eastern conflict, signalling a coordinated global effort to manage rising prices. These developments highlight persistent challenges facing critical infrastructure and monetary policymakers in major economies.

The air traffic control error corrupted flight data "in the space of a millisecond" and initially appeared resolved before recurring at 12:30pm. The Bank of Japan raised its target rate from 1% to 1.25%, joining the US Federal Reserve and European Central Bank in tightening monetary policy this month. The broader economic picture remains mixed: the London stock market recorded its biggest one-day drop since early July, Volkswagen cut its financial guidance due to Porsche issues and a weak Chinese market, yet UK retail sales unexpectedly rose last month.