Lebanese-Canadian business executive; CEO of Shell plc since January 2023
As of April 2026, the UK government is managing the economic and diplomatic fallout from the US-Israel war on Iran, which has disrupted global oil supplies via the Strait of Hormuz. Prime Minister Sir Keir Starmer faces strained relations with US President Donald Trump over UK non-involvement in offensive strikes. The government is implementing targeted cost-of-living support, including a £1 billion Crisis and Resilience Fund and energy price cap reductions, while urging de-escalation and closer ties with Europe.
G7 ministers are meeting via videoconference to address the economic impact of the Middle East conflict, focusing on soaring energy prices, supply disruptions, and US war aims. The meeting aims to coordinate responses and clarify US objectives as tensions escalate and oil markets remain volatile.
The UK has emphasised the security role of its Akrotiri base in Cyprus while Cyprus’s president has described the bases as a colonial remnant and is seeking greater transparency. Recent drone incidents and UK-US discussions on base usage have raised questions about the future status of the bases.
The Strait of Hormuz has been effectively closed for nearly four weeks due to Iran's actions, causing oil prices to rise above $100 per barrel. The disruption threatens global economic stability, with prices potentially reaching $150 if Iran remains a threat after the conflict ends, according to BlackRock CEO Larry Fink.
The UK government is reopening the Ensus plant on Teesside with £100m support to address potential CO2 shortages caused by the Iran conflict. The plant, shut last September due to trade deal impacts, will operate initially for three months to bolster supply for food, healthcare, and industrial sectors.
BP has upgraded its first quarter oil trading guidance following a weak final quarter in 2025. The company reports increased volatility due to ongoing conflicts in the Middle East, with oil prices surging over 60% this year. BP expects flat upstream production and higher net debt, with results to be released on April 28.
Global oil majors are posting higher first‑quarter profits as supply disruptions, including the Strait of Hormuz tension and related price spikes, bolster trading and refining margins. Shell and BP report earnings well above forecasts, while Aramco highlights a critical export artery from its east coast to the Red Sea, helping cushion markets.