PM warns of impact of Iran conflict on UK economy

"The longer the Iran conflict lasts, the more likely it is that there will be an effect on the economy. He understood people's anxiety and that his government was assessing the risks, monitoring and talking to our international partners about reducing the impact on people here. The economy was in a better place to withstand a shock to energy supply than in 2022, when Russia's invasion of Ukraine led to prices soaring."

"Global oil prices have surged in recent days over fears the US-Israeli war with Iran could lead to lengthy disruption to energy supplies. The rise has prompted the G7, a group made up of the richest nations, to hold an emergency meeting to discuss the economic impact of the conflict."

"On Monday, the benchmark UK gas prices rose to 158p per therm, a sharp rise on two weeks ago when the level stood at 80p, but less than four years ago when the war in Ukraine saw prices surge to over 600p. The increases prompted the then Conservative government to launch energy bill support schemes, costing around 44bn."

Prime Minister Keir Starmer has warned that an extended Iran conflict could negatively affect the UK economy. He stated the government is assessing risks, monitoring developments, and coordinating with international partners to minimize economic impact on British citizens. Starmer emphasized that the UK economy is in a stronger position to withstand energy supply disruptions compared to 2022, when Russia's invasion of Ukraine caused energy prices to surge dramatically. Global oil prices have risen recently due to concerns about potential prolonged disruption from the US-Israeli conflict with Iran. The G7 has convened an emergency meeting to address the economic implications. Current UK gas prices have increased to 158p per therm, significantly higher than two weeks prior but substantially lower than during the Ukraine crisis when prices exceeded 600p per therm.

Read at www.bbc.com