The FTSE 100 index gained 0.3% in early trading, led by a 0.8% rise in basic resource stocks as metal prices increased on a weaker dollar.
Shares of industrial metal miners rose after prices of most base metals climbed due to the softer U.S. currency.
UK banks rose 0.6% after the Bank of England said in its annual stress test that the eight largest lenders could withstand rising interest rates and economic shocks. None of the banks needed to resubmit capital plans.
Investors are awaiting key U.S. consumer price inflation data due out later in the day. Economists expect headline CPI to ease to 3.1% in June from 4% in May. Any slowdown in inflation could impact market expectations for Federal Reserve rate hikes.
The FTSE 250 index of midcap stocks was little changed at 18,141 points.
Overall, basic resources and banking stocks led UK indexes higher, while investors awaited the U.S. inflation report for clues on the pace of Fed monetary tightening.
