* Airtel Africa ( AAFRF ) hits record high

* PM Starmer vows to stay at helm

* Trump rejects Iran's response to peace proposal

(Updates after markets close)

May 11 (Reuters) - The UK's blue-chip FTSE 100 rose on

Monday as mining shares jumped and Airtel Africa ( AAFRF ) hit a

record, helping the index defy escalating risk-off sentiment

across global markets.

The commodity-heavy FTSE 100 index closed 0.36%

higher, while the midcap FTSE 250 index slipped 0.18%.

* Airtel Africa ( AAFRF ) climbed 14.5% to a record and was the

biggest gainer on the FTSE 100.

* The board of the company's parent, Bharti Airtel

, is scheduled to meet later this week to weigh

options, including a possible consolidation or acquisition of

stakes in its subsidiaries, including Airtel Africa ( AAFRF ).

* Mining stocks Anglo American and Rio Tinto

were also among the gainers, rising 3.9% and 3.3%, respectively.

* Investors were contending with the stalemate in the Middle

East, where hopes of an imminent reopening of the Strait of

Hormuz were dashed after U.S. President Donald Trump rejected

Iran's response to a U.S. peace proposal.

* Brent crude futures rose 2.8%, keeping investors

concerned about inflation.

* Data last month showed that British inflation ​had risen

to 3.3% in March from 3.0% in February.

* Bank of England Governor Andrew Bailey has also warned

that policymakers would face a "difficult judgement call" in the

coming months on whether to raise rates.

* Meanwhile, investors were also assessing the political

uncertainty in the UK.

* Prime Minister Keir Starmer made an impassioned plea ​to

his Labour Party to stick with him and avoid a leadership

contest that he said would only bring chaos.

* Labour lawmakers had ​turned on him after his party

suffered the worst local election results for a governing party

in more than three decades.

* "It is worth noting that fiscal pressures are high, no

matter who the Labour leader is," BofA Securities strategists

wrote, adding that the government could face pressure to support

households through the oil price shocks.

* Metal miners rose 3.6%, while the personal

goods sector fell 3%.

* Compass Group ( CMPGF ) rose 2.4% after it raised its 2026

profit outlook, betting on demand for workplace dining and new

contract wins.

* Separately, an industry survey showed that Britain's jobs

market had lost momentum in April due to cost pressures stemming

from the Middle East conflict.

(Reporting by Niket Nishant in Bengaluru; Editing by Sahal

Muhammed and Shinjini Ganguli)