- Bank of England Governor Andrew Bailey has warned MPs that British energy prices could rise even higher due to ongoing disruption in the Strait of Hormuz.
- The crisis follows joint US-Israeli strikes on Iran and Houthi attacks in the Red Sea, impacting roughly 20 per cent of global oil shipments and liquefied natural gas exports.
- The warning comes as regulator Ofgem raises the energy price cap by 4 per cent from 1 October, bringing the average annual household bill to £1,723.
- Andrew Bailey noted that emergency stock releases currently easing supply pressures cannot continue indefinitely and are expected to run until around November.
- Andy Burnham has pledged to seek long-term solutions to bring energy costs down, amidst growing pressure to provide further support for households.
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