# Oil prices push UK inflation to five-month high

> Soaring crude costs are driving up petrol prices and inflation across Britain, with no relief in sight.
- Title: Oil prices push UK inflation to five-month high · MoneyWeek
- Summary: Soaring crude costs are driving up petrol prices and inflation across Britain, with no relief in sight. Oil price spikes driven by Middle East tensions are…
- Keywords: oil prices, uk inflation, brent crude, petrol prices, iran, strait of hormuz, saudi arabia, energy crisis, government debt, Oil, prices, push
- Source: MoneyWeek — https://moneyweek.com/investments/oil-price/oil-price-rises-drive-higher-uk-inflation
- Published: 2026-09-18T13:00:00+00:00
- Read time: 1 min
- Topics: oil prices, uk inflation, brent crude, petrol prices, iran, strait of hormuz, saudi arabia, energy crisis, government debt
## UK inflation hits five-month peak
Consumer prices rose 3.1% year-on-year in August as motor fuel surged nearly 25%. Petrol reached 161.3p per litre and diesel hit 181.8p.

> Consumer prices rose 3.1% in the year to August.
## Brent crude surges past $100
Oil has risen 78% since January, trading at $108 per barrel as of Wednesday. The last time prices stayed below $100 was several months ago.

> Brent crude is back above $100 a barrel.
## Secret tankers kept prices down
Tankers with disabled transponders made risky dark crossings through the Strait of Hormuz to evade Iranian detection. Around 500 million barrels moved this way between June and August.

> high-risk "dark crossings" made by crude tankers with their transponders turned off
## Saudi pipeline attacked, supplies cut
Iranian-backed militias in Iraq struck Saudi Arabia's east-west pipeline, potentially cutting global oil supplies by 3.6 million barrels per day, or 3.6% of global demand.

> That may cut global oil supplies by as much as 3.6 million barrels per day
## Red Sea route faces new threats
Yemen's Houthi militia is threatening the alternative Red Sea shipping lane. The group has fought better-equipped enemies for over two decades and shows no signs of backing down.
## Energy crisis fuels global debt spike
Surging oil prices and inflation are driving up government borrowing costs worldwide. The US ten-year Treasury topped 5% this week, its highest level since 2007.

> Surging energy prices and inflation are the root cause of the global spike in government borrowing costs
## Weak finances meet perfect storm
Developed nations entered 2024 in a weakened fiscal position after Covid-19, Russia's invasion of Ukraine, and years of deficit spending. The Iran conflict threatens to ignite a debt crisis.

> the dry timber that the Iran war now threatens to set ablaze
## Key takeaway

Oil price spikes driven by Middle East tensions are the primary force behind rising UK inflation and global borrowing costs.