17th Mar 2026 14:40
(Alliance News) - Keir Starmer told his ministers Britain is better placed to handle the impact of the Iran war thanks to the chancellor, as the conflict continued to impact oil prices.
Downing Street said the UK prime minister had praised Rachel Reeves at the start of the weekly Cabinet meeting, after the chancellor told ministers their work had "put the government in a better place to weather a storm".
Starmer's official spokesman said Reeves had told Cabinet that "the government had to govern for the world as it was, not as we would like it to be".
He added that the prime minister had said it was "important to emphasise the government was approaching this conflict in a better position thanks to the work of the chancellor".
Tuesday's Cabinet meeting took place in the middle of the war's third week, with oil prices remaining above USD100 per barrel thanks to Iran's continued blockade of the vital Strait of Hormuz.
But Downing Street sought to play down fears that disruption to the global oil supply could mean petrol rationing, saying petrol stations across the country were "well stocked".
The prime minister's official spokesman added: "Both the AA and Fuel Industry UK have been clear that drivers should fill up as normal, with fuel production and imports continuing across the UK as usual, with no issues reported."
Earlier, Treasury minister Dan Tomlinson had said it was "too early to tell what the impact of this crisis will be", adding that the government would "monitor the situation".
Iran's stranglehold on the Strait of Hormuz has become a key focus of international attention, with several ships in the area reportedly struck by projectiles or debris from intercepted missiles as Tehran seeks to exert economic pressure on the US.
On Monday, US President Donald Trump called for allied nations to provide vessels to help open the strait, and complained that Starmer had so far declined to commit the Royal Navy.
Speaking at a press conference, Trump said the US had considered the UK the "Rolls-Royce of allies" but that its response to the war had been "very disappointing".
He appeared to criticise Starmer for seeking the advice of aides on the issue of Hormuz, after a call between the two leaders on Sunday, claiming the prime minister had said he was "meeting with my team" before making a decision.
On Tuesday, Downing Street declined to be drawn into a war of words with Trump.
Starmer's spokesman said he would not give "a running commentary on everything the president says", and emphasised that "underneath these comments" there was an "enduring close relationship".
He said: "The prime minister and president speak regularly and have a good relationship. That doesn't mean we have to agree with the US on everything or support every action they take."
In his own press conference on Monday, Starmer said the UK had begun discussions with allies on how to help open the strait, with Downing Street saying the discussions were still in their "early stages".
Some European countries, such as Germany, have already appeared to rule out sending warships to help the US, while sources suggested an immediate deployment of UK ships into the strait was unlikely given the high level of risk involved.
Conservative leader Kemi Badenoch meanwhile said the UK should "do something to help", but said there should be a clear plan first and dismissed Trump's criticism of Starmer as "childish".
She told the Press Association: "What we haven't really seen is much of a plan."
She added: "I don't want to see oil shocks in our country, we should do something to help.
"But let's know that there is a clear plan, a clear outcome. I understand why Donald Trump said he started this war, but you shouldn't start something if you don't know how to finish it."
By Christopher McKeon, David Hughes and Sophie Wingate, Press Association Political Staff
Press Association: News
source: PA
Copyright 2026 Alliance News Ltd. All Rights Reserved.