The White House is demanding billions of pounds for a potential military campaign against Iran, after a revolt by Republican lawmakers threatened to derail funding for the President's aggressive posture. Downing Street has issued a stark warning that any conflict would trigger a global oil shock, sending petrol prices spiralling and heaping further pressure on British households already grappling with the cost of living crisis.
According to sources in Washington, Donald Trump requested an emergency budget allocation of £15 billion to cover the initial costs of airstrikes and naval deployments in the Persian Gulf. The move came after a group of Republican senators, uneasy about the lack of congressional approval for military action, blocked a routine defence spending bill. The standoff has exposed deep divisions within the party, with some lawmakers fearing a protracted war that could drain the Treasury and destabilise the region.
In London, the Foreign Office issued a rare public assessment of the economic consequences. A senior official said that a full-scale conflict would push oil prices above $150 a barrel, more than double current levels. The UK's energy regulator warned that motorists could face petrol costs of £2.50 per litre, while businesses would be hit by soaring energy bills. The prime minister's spokesman declined to comment directly on the US request, but stressed Britain would not support any unilateral action that risked a repeat of the 2003 Iraq invasion.
For working families in the North of England, the prospect of another Middle Eastern war is a grim reminder of the last time oil prices spiked. In 2008, when crude hit $147 a barrel, the average household energy bill rose by 40% and the UK tipped into recession. Today, with wages still stagnant and inflation eating into incomes, economists say the impact could be even more severe. "We are sleepwalking into a disaster," said one union leader. "Our members cannot afford another war. The government must step in and protect consumers from the profiteering that will follow."
The crisis has also reignited debate about the UK's reliance on fossil fuels. Environmental groups have seized on the moment to call for a rapid transition to renewable energy, arguing that dependence on Middle Eastern oil leaves the country vulnerable to geopolitical shocks. But critics say the government has been too slow to invest in wind and solar power, and that any shift would take years.
In Washington, Trump has dismissed the warnings as "scaremongering" and insisted that the US can win a quick victory. But Pentagon officials have privately admitted that even a limited campaign could last months and cost billions more than requested. The confrontation pits the President against his own party, with senior Republicans warning that a war without explicit congressional approval would be unconstitutional. For now, the fate of the funding remains uncertain, as negotiations continue behind closed doors.
The British government, meanwhile, is bracing for the worst. The Treasury has drawn up contingency plans to cap energy prices and provide direct payments to the poorest households if oil costs surge. But with the public finances already stretched after pandemic spending, any bailout would come at a heavy price. As one minister put it: "We cannot afford a war, but we cannot afford the consequences of not preparing for one either."
