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Treasury head Rachel Reeves has revealed she is planning "targeted measures to tackle household expense issues" in the forthcoming Budget.

Speaking to the BBC, she noted that curbing inflation is a collective duty of both the administration and the central bank.

The UK's price growth is expected to be the highest among the Group of Seven industrialized countries this year and next.

Possible Energy Bill Interventions

Sources suggest the government could take action to lower energy bills, for example by reducing the current 5% rate of VAT applied on energy.

A further approach is to cut some of the regulatory levies presently included in bills.

Fiscal Constraints and Expert Predictions

The administration will receive the latest draft from the official forecaster, the Office for Budget Responsibility, on Monday, which will clarify how much scope there is for such actions.

The expectation from the majority of experts is that the Chancellor will have to introduce tax rises or expenditure reductions in order to adhere to her voluntary borrowing rules.

Earlier on the same day, analysis indicated there was a £22 billion deficit for the Treasury chief to fill, which is at the more modest range of expectations.

"There's a joint responsibility between the Bank of England and the administration to further reduce some of the causes of inflation," the Chancellor stated to the BBC in the US capital, at the conferences of the International Monetary Fund and global financial institution.

Tax Pledges and Global Concerns

While a great deal of the focus has been on expected tax increases, the Treasury chief said the most recent information from the OBR had not altered her pledge to campaign commitments not to raise rates on income tax, VAT or social security contributions.

She attributed an "unpredictable global environment" with increasing international and commercial issues for the fiscal revenue measures, likely to be focused on those "wealthiest."

Global Trade Tensions

Addressing concerns about the UK's economic relations with China she said: "The UK's security interests always take priority."

Last week's declaration by Chinese authorities to increase export controls on rare earths and other resources that are essential for high-technology manufacturing led American leader the US President to propose an further 100% tariff on imports from China, increasing the risk of an all-out commercial conflict between the two global powers.

The US Treasury Secretary labeled the Chinese action "commercial pressure" and "a global supply chain power grab."

Questioned on considering the American proposal to participate in its dispute with China, the Chancellor said she was "deeply worried" by China's actions and called on the Chinese government "not to put up barriers and limit trade."

She said the action was "damaging for the international commerce and causes additional challenges."

"I believe there are sectors where we should address Chinese policies, but there are also important chances to sell into China's economy, including banking sector and other sectors of the economic system. We've got to get that equilibrium appropriate."

The chancellor also affirmed she was collaborating with other major economies "on our own critical minerals plan, so that we are less reliant."

NHS Drug Pricing and Funding

The Chancellor also acknowledged that the price the NHS spends on medicines could rise as a result of current talks with the Trump administration and its drugs companies, in return for lower tariffs and funding.

A number of the world's largest drug companies have said in recent statements that they are either delaying or abandoning projects in the United Kingdom, with some blaming the insufficient payments they are receiving.

Last month, the government science advisor said the cost the NHS pays for drugs would must rise to prevent businesses and drug research funding leaving the UK.

Reeves told media: "We have seen as a result of the payment system, that medical research, innovative medicines have not been offered in the United Kingdom in the way that they are in other EU nations."

"Our aim is to make sure that patients receiving treatment from the NHS are able to access the finest critical medicines in the world. And so we are reviewing all of that, and... aiming to obtain increased capital into Britain."