Chancellor Rachel Reeves promises to shield Britain from higher energy costs caused during Middle East fighting. She tells BBC reporters the government will use every tool available to help people. Oil prices jumped sharply after Israel and Iran started attacking each other. Rising oil costs make gasoline and diesel more expensive for drivers.
The conflict reminds experts about what happened when Russia invaded Ukraine three years ago. Back during that crisis, oil prices reached nearly $130 per barrel and pushed up costs for food and travel. Current oil prices sit around $75 per barrel, which remains lower than January levels. Reeves says her Treasury team stays alert about potential problems.
British households face slow changes to their energy bills even when wholesale prices move quickly. The government price cap should bring down average bills starting July. Experts worry that shipping disruptions through the Strait of Hormuz could push prices higher. This important waterway sits near Iran and handles major oil shipments.
Reeves points to her recent spending announcement as proof the government prepares for energy challenges. She allocated more money for defense and energy security projects. The chancellor criticizes past governments for failing to invest enough in domestic energy production. New investments cover nuclear power, wind farms, and carbon storage technology.
The conflict reminds experts about what happened when Russia invaded Ukraine three years ago. Back during that crisis, oil prices reached nearly $130 per barrel and pushed up costs for food and travel. Current oil prices sit around $75 per barrel, which remains lower than January levels. Reeves says her Treasury team stays alert about potential problems.
British households face slow changes to their energy bills even when wholesale prices move quickly. The government price cap should bring down average bills starting July. Experts worry that shipping disruptions through the Strait of Hormuz could push prices higher. This important waterway sits near Iran and handles major oil shipments.
Reeves points to her recent spending announcement as proof the government prepares for energy challenges. She allocated more money for defense and energy security projects. The chancellor criticizes past governments for failing to invest enough in domestic energy production. New investments cover nuclear power, wind farms, and carbon storage technology.
