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Treasury head Rachel Reeves has revealed she is planning "specific measures to address household expense issues" in next month's financial statement.

Speaking to the BBC, she noted that reducing price rises is a shared responsibility of both the administration and the central bank.

The UK's inflation rate is forecast to be the highest among the G7 industrialized countries this calendar year and the following year.

Possible Energy Cost Measures

Reports indicate the administration could take action to bring down energy bills, for example by slashing the current 5% level of VAT applied on energy.

A further approach is to reduce some of the regulatory levies presently added to bills.

Budgetary Constraints and Expert Expectations

The government will receive the latest assessment from the independent fiscal watchdog, the Office for Budget Responsibility, on the start of the week, which will clarify how much space there is for such measures.

The expectation from most analysts is that Reeves will have to declare tax rises or spending cuts in order to meet her declared fiscal targets.

Previously on the same day, calculations showed there was a £22bn shortfall for the chancellor to resolve, which is at the lower end of projections.

"There's a collective job between the Bank of England and the government to further reduce some of the drivers of price increases," the Chancellor stated to reporters in Washington, at the annual meetings of the International Monetary Fund and global financial institution.

Tax Commitments and International Issues

While a great deal of the focus has been on expected tax rises, the chancellor said the latest figures from the fiscal watchdog had not changed her pledge to campaign commitments not to raise tax levels on income tax, sales tax or social security contributions.

She attributed an "uncertain global environment" with growing geopolitical and commercial tensions for the fiscal revenue measures, probably to be directed on those "wealthiest."

International Economic Disputes

Referring to worries about the United Kingdom's trade ties with China she said: "Our national security always come first."

Last week's declaration by Chinese authorities to increase trade restrictions on critical minerals and other materials that are crucial for advanced tech production led US President the US President to propose an further 100% tariff on imports from the Asian country, raising the prospect of an full-scale commercial conflict between the two largest economies.

The American finance chief described China's move "economic coercion" and "a global supply chain power grab."

Questioned on considering the American proposal to participate in its conflict with the Asian nation, Reeves said she was "extremely troubled" by China's measures and called on the Chinese government "not to put up barriers and limit trade."

She said the move was "harmful for the international commerce and creates additional challenges."

"I believe there are fields where we should challenge Chinese policies, but there are also significant chances to export to Chinese markets, including banking sector and other areas of the economy. We've got to achieve that balance appropriate."

The Treasury chief also affirmed she was collaborating with G7 counterparts "regarding our own essential resources strategy, so that we are more independent."

NHS Medicine Pricing and Funding

The Chancellor also acknowledged that the price the National Health Service spends on pharmaceuticals could go up as a consequence of ongoing discussions with the US government and its pharmaceutical firms, in return for reduced taxes and investment.

A number of the biggest global drug companies have said in recent statements that they are either pausing or canceling operations in the UK, with some attributing the insufficient payments they are receiving.

Last month, the Science Minister said the price the health service spends on drugs would must rise to stop businesses and pharmaceutical investment leaving the UK.

Reeves informed the BBC: "We have seen due to the payment system, that medical research, recent pharmaceuticals have not been provided in the United Kingdom in the way that they are in other European countries."

"Our aim is to ensure that people receiving treatment from the National Health Service are can obtain the top life-saving drugs in the globe. And so we are looking at this situation, and... seeking to obtain additional investment into the UK."