Iran war triggers UK inflation

Official figures from the Office for National Statistics reveal that British consumer prices rose faster than expected last month, primarily due to the fallout from the U.S.-Iran war.

The disruption to global oil supplies has pushed petrol prices to their highest levels in years, creating a significant fiscal challenge for Chancellor Rachel Reeves.

Economists warn that the conflict could blow a £16 billion hole in the national budget as living standards continue to face downward pressure.

Market analysts have now adjusted their forecasts, with most expecting the Bank of England to hold interest rates steady to combat the inflationary surge.