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Treasury head Rachel Reeves has stated she is planning "targeted action to address household expense pressures" in the forthcoming financial statement.

In comments to media outlets, she noted that reducing price rises is a joint task of both the government and the central bank.

The UK's inflation rate is projected to be the most elevated among the G7 industrialized countries this year and next.

Possible Utility Cost Measures

Reports indicate the administration could intervene to reduce utility costs, such as by slashing the present 5% level of VAT charged on energy supplies.

Another option is to reduce some of the policy costs currently added to household expenses.

Fiscal Limitations and Expert Predictions

The government will obtain the latest assessment from the independent fiscal watchdog, the OBR, on the start of the week, which will reveal how much scope there is for such measures.

The consensus from most economists is that Reeves will have to announce tax increases or spending cuts in order to meet her declared borrowing rules.

Earlier on Thursday, estimates indicated there was a twenty-two billion pound shortfall for the Treasury chief to fill, which is at the lower end of forecasts.

"It is a joint job between the central bank and the government to bear down further on some of the drivers of price increases," the Chancellor stated to the BBC in Washington, at the conferences of the International Monetary Fund and World Bank.

Revenue Pledges and Global Issues

While a great deal of the attention has been on likely tax increases, the Treasury chief said the most recent information from the fiscal watchdog had not altered her pledge to campaign commitments not to increase rates on earnings tax, VAT or social security contributions.

She blamed an "uncertain world" with increasing geopolitical and commercial concerns for the Budget revenue measures, likely to be focused on those "most able to pay."

International Economic Disputes

Commenting on worries about the United Kingdom's commercial links with China she said: "Our national security always come first."

Last week's statement by China to strengthen trade restrictions on critical minerals and other resources that are key for advanced tech production led American leader Donald Trump to suggest an further 100% tariff on goods from the Asian country, increasing the risk of an full-scale trade war between the two largest economies.

The US Treasury Secretary labeled China's move "economic coercion" and "a international production power grab."

Inquired about accepting the US offer to participate in its dispute with the Asian nation, Reeves said she was "extremely troubled" by China's measures and encouraged the Beijing authorities "not to put up barriers and limit trade."

She said the move was "damaging for the global economy and generates additional obstacles."

"In my view there are areas where we must challenge Chinese policies, but there are also significant prospects to sell into China's economy, including financial services and other areas of the economy. We've got to get that balance right."

The chancellor also affirmed she was working with other major economies "regarding our own essential resources approach, so that we are less reliant."

NHS Medicine Pricing and Funding

Reeves also acknowledged that the price the NHS spends on pharmaceuticals could increase as a consequence of current negotiations with the US government and its drugs companies, in return for lower tariffs and investment.

A number of the world's largest drug companies have said recently that they are either pausing or abandoning operations in the UK, with several blaming the insufficient payments they are obtaining.

Last month, the Science Minister said the cost the health service spends on medicines would have to rise to stop firms and pharmaceutical investment departing from the United Kingdom.

The Chancellor stated to the BBC: "It has been observed as a result of the payment system, that clinical trials, innovative medicines have not been provided in the UK in the extent that they are in other continental states."

"The objective is to ensure that patients receiving treatment from the NHS are can receive the best essential medicines in the globe. And so we are reviewing this situation, and... looking to secure increased capital into Britain."