LONDON, April 15 (Xinhua) -- British Chancellor of the Exchequer Rachel Reeves on Wednesday warned that the Middle East conflict is driving up costs for households and businesses, and called for a coordinated international response to the economic fallout of the war.
"This is not our war, but it is pushing up costs for British families and businesses," Reeves said in a statement posted on the government website.
Reeves described the attacks by the United States and Israel on Iran as a "mistake" and said she was "not convinced that this conflict has made the world a safer place."
The chancellor underlined that her priority is "economic security," including keeping costs down, taking back control of energy security, and acting responsibly in the national interest.
She warned that renewed hostilities or disruption to energy supplies could push up costs and lower living standards. Any response should be "responsible and targeted," she said, given constrained public finances.
Reeves also pointed to lessons from 2022, when energy market volatility increased the British debt interest costs. A sustained ceasefire and avoiding "knee-jerk responses" would be key to limiting costs for households, the chancellor stressed.
Meanwhile, she urged coordinated action to ensure safe passage for energy supplies through the Strait of Hormuz.
The statement came as the International Monetary Fund has warned that the conflict in the Middle East could weigh on global growth and push up energy prices.
The IMF has downgraded Britain's growth outlook to around 0.8 percent for 2026, citing its reliance on imported energy and vulnerability to rising costs.
