British Trade Minister Says US-Israeli War vs Iran Increases Domestic Economic Problems

JAKARTA - British Trade Minister (Mendag) Peter Kyle said that the US-Israeli war against Iran was the cause of the increasing problems facing the British economy.

Quoting The Telegraph, Kyle said the Labour Party had "fought hard to boost Britain's economic growth".

However, he continued, the US-Israeli attack on Iran initiated by President Donald Trump and Prime Minister (PM) Benjamin Netanyahu is increasingly putting pressure on the growth of his country's economy.

Gross Domestic Product (GDP) in the UK grew by 0.5 percent in February 2026, a figure that came as a surprise before the US-Israel attack on Iran on February 28.

However, the latest data released by the International Monetary Fund (IMF) on Wednesday, April 15, 2026, stated that Britain faced the largest economic shock among G7 members due to the Middle East conflict, with Britain's growth forecast for this year from 1.3 percent to only 0.8 percent.

When asked if the February 2026 growth was a "painful picture" of what was happening, Kyle told Sky News: "It is true. So yesterday when you heard the Chancellor, Rachel Reeves, express frustration, it was a statement that underestimated. I'm really frustrated because we've been fighting hard to drive economic growth."

He added: "All indicators are moving in the right direction. Although now we are facing challenges because of what is happening in the Middle East, building economic resilience will be very beneficial for us.

Kyle said Britain was clearly aware of trying to get out of the pressure due to the war in the Middle East.

"Of course, the results of the growth that we want to feel in the pockets of the community will be suppressed and hampered. That is the frustration we feel and that is the implication of what is happening in the Middle East," he continued.