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Treasury head Reeves has revealed she is preparing "specific action to tackle cost of living pressures" in the upcoming Budget.

Speaking to the BBC, she noted that curbing inflation is a shared task of both the government and the Bank of England.

The UK's price growth is expected to be the most elevated among the G7 industrialized countries this calendar year and the following year.

Possible Energy Bill Measures

It is understood the government could take action to lower utility costs, for example by reducing the present 5% level of value-added tax applied on energy supplies.

An additional possibility is to lower some of the government charges presently added to household expenses.

Budgetary Limitations and Expert Predictions

The administration will receive the latest draft from the independent fiscal watchdog, the OBR, on the start of the week, which will reveal how much space there is for these measures.

The consensus from most experts is that the Chancellor will have to declare tax increases or expenditure reductions in order to adhere to her declared borrowing rules.

Earlier on the same day, calculations suggested there was a twenty-two billion pound gap for the chancellor to address, which is at the lower end of expectations.

"It is a collective job between the central bank and the government to continue tackling some of the causes of price increases," the Chancellor told reporters in Washington, at the annual meetings of the International Monetary Fund and World Bank.

Tax Pledges and International Concerns

While a great deal of the attention has been on expected tax increases, the Treasury chief said the latest information from the fiscal watchdog had not altered her vow to campaign commitments not to increase tax levels on earnings tax, VAT or National Insurance.

She blamed an "unpredictable world" with increasing geopolitical and commercial concerns for the fiscal tax moves, probably to be targeted on those "wealthiest."

International Economic Disputes

Addressing apprehensions about the UK's trade ties with China she said: "The UK's national security invariably are paramount."

Last week's statement by China to strengthen export controls on critical minerals and other materials that are essential for advanced tech manufacturing led American leader the US President to propose an further 100% import tax on goods from the Asian country, raising the possibility of an all-out trade war between the two economic giants.

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

Inquired about accepting the US offer to join its battle with the Asian nation, the Chancellor said she was "very concerned" by Chinese measures and encouraged the Beijing authorities "not to put up barriers and restrict access."

She said the decision was "damaging for the international commerce and causes additional headwinds."

"I believe there are areas where we should address Chinese policies, but there are also valuable prospects to trade with China's economy, including banking sector and other areas of the economy. We've got to maintain that equilibrium appropriate."

The Treasury chief also confirmed she was working with G7 counterparts "on our own critical minerals strategy, so that we are reduced dependence."

NHS Drug Costs and Funding

Reeves also acknowledged that the cost the NHS spends on medicines could rise as a result of ongoing discussions with the US government and its drugs companies, in return for reduced taxes and funding.

Some of the world's largest pharmaceutical manufacturers have said lately that they are either pausing or abandoning operations in the United Kingdom, with some attributing the low prices they are receiving.

Recently, the Science Minister said the cost the health service spends on drugs would must go up to halt businesses and drug research funding departing from the UK.

The Chancellor stated to media: "It has been observed because of the cost structure, that medical research, innovative medicines have not been offered in the UK in the manner that they are in other continental states."

"We want to make sure that individuals getting treatment from the NHS are able to receive the finest life-saving treatments in the world. And so we are reviewing these issues, and... aiming to obtain more investment into the UK."