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The Guardian - UK
The Guardian - UK
Business
Graeme Wearden

UK households will take £2,400 financial hit from Iran war, analysis shows

United Kingdom United States Iran CEBR ECIU Economy Inflation
Shoppers at Lidl loading their car with groceries
‘Until energy markets calm, the squeeze will persist’ on UK households, says the CEBR consultancy. Photograph: Jill Mead/The Guardian

UK households will have suffered a £2,400 financial hit, on average, from the Iran war by the end of 2027, new analysis shows.

The Centre for Economics and Business Research (CEBR) has calculated that the jump in inflation since the conflict began, and weaker wage growth, will knock £1,100 off the real income of the average UK household in 2026, and by a further £1,300 in 2027.

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