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Keir Starmer announces emergency five-point plan to combat cost of living crisis caused by Iran War

Home> News> UK News

Updated 14:19 1 Apr 2026 GMT+1Published 10:21 1 Apr 2026 GMT+1

Keir Starmer announces emergency five-point plan to combat cost of living crisis caused by Iran War

The prime minister has also called for 'de-escalation' in Iran

Brenna Cooper

Brenna Cooper

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Prime Minister Keir Starmer has announced an emergency 'five-point' plan to tackle the ongoing energy crisis caused by the war in Iran, which includes cutting energy bills by £10 per household.

Speaking in a press conference in Downing Street today (1 April), the Labour leader reiterated his position on the ongoing US-Israeli war with Iran, as well as the impact the conflict is having on energy and fuel prices.

It's an incredibly worrying time for Brits. Data from the RAC shared yesterday (31 March) shows that the cost of filling up a standard 55-litre diesel family car has risen above £100 for the first time since December 2022.

Market analyst Cornwall Insight also said yesterday that energy bills could rise by around £290 a year to almost £2,000 by summer if the government doesn't intervene.

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Meanwhile, according to the Food and Drink Federation, the cost of food is predicted to rise by around nine percent by the end of the year, triple what was anticipated before the war in Iran.

"It is now clear that the impact of this war will affect the future of our country," Starmer told reporters.

"So today, I want to reassure the British people that no matter how fierce this storm, we are well placed to weather it, and that we have a long-term plan to emerge from it a stronger a more secure nation."

The announcements are in response to the ongoing energy crisis caused by the war in Iran (Frank Augstein - WPA Pool/Getty Images)
The announcements are in response to the ongoing energy crisis caused by the war in Iran (Frank Augstein - WPA Pool/Getty Images)

He went on to announce that a plan has been drawn up to support the British public throughout the crisis, which includes the £100 bill cut.

What is the five-point plan?

According to the prime minister, the five-point plan is as follows:


  • Cutting energy bills by over £100 per household from today (1 April)
  • Extension of the cut in fuel duty until September
  • Setting aside £53 million for households affected by heating oil prices
  • Investing in 'clean British energy' to get bills off the 'rollercoaster controlled by Putin and the Iranian regime'
  • Push for de-escalation in the Middle East

"Every one of these measures is part of a long-term plan to make our country more secure and more resilient to shocks like this," he said.

Despite the support measures, Starmer warned of tough times ahead, adding: "I do have to level with people on this. This will not be easy."

However, he went on to say: "We will make Britain a fairer and more secure country because that hope is what is needed as the country comes together and because how we emerge from this crisis will define us for a generation."

The Strait of Hormuz remains closed by Iranian forces, cutting off 20 percent of the world's total oil (Punit PARANJPE / AFP via Getty Images)
The Strait of Hormuz remains closed by Iranian forces, cutting off 20 percent of the world's total oil (Punit PARANJPE / AFP via Getty Images)

Starmer also reiterated his support for de-escalation, reaffirming that the conflict in Iran is 'not our war' and insisting that the UK won't be 'dragged into' it.

When pressed on threats made by US President Donald Trump over the UK not being involved in the conflict, he responded: "I'm the British Prime Minister, and I must act in British national interests."

What about the Strait of Hormuz?

When it came to reopening the Strait of Hormuz, Starmer confirmed that Foreign Secretary Yvette Cooper will be hosting a meeting with international leaders later this week to discuss all 'viable diplomatic and political measures' to reopen the crucial trade route.

He also confirmed the UK would pursue a closer security and economic partnership with the European Union in response to the crisis, adding: "Whatever the pressure on me and others, whatever the noise, I'm going to act in the British national interest in all decisions that I make, and that's why I've been absolutely clear that this is not our war, or we're not going to get dragged into it.

"But I'm equally clear that when it comes to defence and security and our economic future, we have to have closer ties with Europe."

Featured Image Credit: Claudia Greco-WPA Pool/Getty Images

Topics: Keir Starmer, UK News

Brenna Cooper
Brenna Cooper

Brenna Cooper is a journalist at LADbible. She graduated from the University of Sheffield with a degree in History, followed by an NCTJ accredited masters in Journalism. She began her career as a freelance writer for Digital Spy, where she wrote about all things TV, film and showbiz. Her favourite topics to cover are music, travel and any bizarre pop culture.

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@_brencoco

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