Starmer to update on cost of living amid oil surge

UK Prime Minister Sir Keir Starmer is set to update the public on the cost of living as rising global energy prices linked to the Iran conflict push fuel costs sharply higher.

The announcement comes amid growing concern over household expenses, with diesel prices for a standard 55-litre car tank now exceeding £100 for the first time since late 2022, News.Az reports, citing foreign media.

Energy markets have been shaken by escalating tensions in the Middle East, with oil prices rising after disruptions affecting tanker movement through the Strait of Hormuz. Analysts say the increase is feeding directly into higher fuel costs across Europe, including the UK.

Starmer is expected to address both the conflict and its domestic economic impact during a press conference on Wednesday morning, reaffirming government efforts to support households.

Chancellor Rachel Reeves said any additional support would be targeted based on household income, while stressing caution over immediate fuel tax cuts due to inflation risks. She is also due to meet supermarket leaders and regulators to discuss price pressures on consumers.

Recent figures show UK energy bills are falling slightly under the latest price cap adjustment, but analysts warn that increases are likely in the coming months if oil prices remain elevated.

Meanwhile, diesel and petrol prices have climbed sharply since the start of the conflict, adding pressure on transport and household budgets as policymakers weigh further economic support measures.

News.Az 

By Aysel Mammadzada