Rachel Reeves issues warning on cost of Iran war and teases support package

Rachel Reeves issues warning on cost of Iran war and teases support packageChancellor Rachel Reeves admitted the scale of the costs of the Iran war are not yet known but repeated her vow to 'provide support for those who need it most' in the UKCommentsNewsSophie Huskisson Political Correspondent08:58, 12 Apr 2026View 2 ImagesRachel Reeves has warned “the war in Iran will come at a cost to British families and businesses”(Image: PA)Rachel Reeves has warned “the war in Iran will come at a cost to British families and businesses”. The Chancellor said a two-week US-Iran ceasefire is the "best protection" for household bills but acknowledged that rising prices are already being felt here at home. She admitted the scale of the costs are not yet known but repeated her vow to "provide support for those who need it most".‌Ms Reeves said she will this week set out the "principles" for how the Government will support business in the coming months and the "next phase" of boosting Britain's competitiveness.‌Writing in The Times, Ms Reeves said: “I am going to be straight with people though that the war in Iran will come at a cost to British families and business.‌“These are not costs I wanted, but they are costs we will have to respond to. As Chancellor, I have vowed that my economic approach to this crisis will be both responsive to a changing world and responsible in the national interest.READ MORE: UK is rewriting war response for the first time in 50 years — from rationing to hospitalsView 2 ImagesHealth Secretary Wes Streeting said it was 'disappointing' there had not been a breakthrough in Iran peace talks(Image: PA)“We don’t yet know the full scale of those costs, but the immediate priority must be to ensure that the ceasefire holds. “That is the best protection we have against higher costs at home and at the IMF meetings in Washington this week I will be working with allies on the action we can take to guar...