Reeves warns Iran conflict will push UK inflation higher

Rachel Reeves warned that the Iran conflict will likely increase UK inflation. Speaking in London on Tuesday, she said the pressure will rise in coming months.

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British finance minister Rachel Reeves cautioned on Tuesday that the ongoing conflict involving Iran is expected to exert upward pressure on inflation within the United Kingdom over the coming months. Speaking at an event in the City of London financial district, the Chancellor of the Exchequer highlighted the potential economic ramifications of geopolitical instability.

Chancellor Rachel Reeves departs 11 Downing Street to deliver the Mais Lecture in London on March 17, 2026. REUTERS/Isabel Infantes
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