Prime Minister Keir Starmer to Lead Emergency COBR Session on Economic Fallout from Iran Conflict
Prime Minister Keir Starmer is set to chair an urgent COBR meeting this week, gathering senior ministers to address the escalating cost of living crisis exacerbated by the ongoing US-Israeli war with Iran. The meeting, scheduled for Monday, will include Bank of England governor Andrew Bailey, highlighting the severe economic concerns at stake.
Trump's Ultimatum and Global Oil Supply Disruption
The crisis has intensified following a 48-hour ultimatum from US President Donald Trump to Tehran, demanding the full reopening of the Strait of Hormuz without threats. In a post on Truth Social, Trump warned, "If Iran doesn't FULLY OPEN, WITHOUT THREAT, the Strait of Hormuz, within 48 HOURS from this exact point in time, the United States of America will hit and obliterate their various POWER PLANTS, STARTING WITH THE BIGGEST ONE FIRST..."
This ultimatum comes as missiles and drones continue to block global oil supplies in the region, with the conflict now entering its fourth week. The Prime Minister previously held a COBR meeting on Thursday, focusing on the domestic repercussions of the Iran war.
Energy Boss Warns of "Inescapable" Price Rises
Earlier, Chris O'Shea, chief executive of Centrica, which owns British Gas, stated that price increases may be "inescapable" if the Middle East conflict persists. On BBC's Sunday With Laura Kuenssberg programme, O'Shea explained, "Cornwall Insight, I think, have predicted that there's going to be an increase in prices. If it stays as it is then I think that's inescapable. The world uses about 100 million barrels of oil a day. We've lost about 20% of that through the Strait of Hormuz."
Government Response and Contingency Plans
In response to growing concerns, Cabinet minister Steve Reed assured the public that a contingency plan is in place, urging people to continue buying fuel as usual. He told Sky News' Sunday Morning with Trevor Phillips, "There's no need to ration fuel. People should go around and buy their fuel just like they always would. If the situation were to change, then the Government would look at what was required in that circumstance. We did intervene when it came to heating oil, because we saw the prices escalating and people were seeing their bills doubling and tripling overnight. We can't have that, so we stepped in to support people."
This emergency COBR meeting underscores the government's commitment to shielding Britons from the economic shock of the Iran war, as Starmer prioritises stability and support amid global turmoil.
