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Chancellor Rachel Reeves has revealed she is preparing "targeted measures to address household expense issues" in next month's financial statement.

In comments to the BBC, she stated that curbing inflation is a shared task of both the administration and the Bank of England.

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

Possible Energy Bill Measures

It is understood the administration could take action to reduce energy bills, for example by reducing the present 5% level of value-added tax applied on energy.

Another approach is to reduce some of the policy costs currently included in household expenses.

Budgetary Constraints and Expert Predictions

The administration will obtain the next report from the official forecaster, the OBR, on the start of the week, which will reveal how much room there is for such measures.

The view from the majority of experts is that Reeves will have to announce tax increases or budget cuts in order to meet her voluntary debt limits.

Earlier on Thursday, analysis showed there was a £22bn gap for the chancellor to resolve, which is at the lower end of projections.

"There's a joint responsibility between the Bank of England and the administration to bear down further on some of the drivers of price increases," the Chancellor informed reporters in Washington, at the annual meetings of the International Monetary Fund and global financial institution.

Tax Pledges and Global Concerns

While a great deal of the attention has been on likely tax rises, the Treasury chief said the latest data from the OBR had not changed her commitment to campaign commitments not to raise tax levels on earnings tax, VAT or social security contributions.

She attributed an "uncertain world" with increasing geopolitical and trade tensions for the Budget tax moves, likely to be focused on those "with the broadest shoulders."

Global Trade Disputes

Commenting on concerns about the UK's economic relations with the Asian nation she said: "Our national security invariably take priority."

Recent announcement by China to strengthen trade restrictions on rare earths and other resources that are crucial for high-technology production led American leader the US President to propose an further 100% import tax on goods from China, increasing the prospect of an full-scale commercial conflict between the two economic giants.

The American finance chief labeled the Chinese decision "commercial pressure" and "a international production power grab."

Questioned on considering the US offer to participate in its conflict with China, the Chancellor said she was "deeply worried" by Chinese measures and encouraged the Chinese government "not to put up barriers and limit trade."

She said the decision was "harmful for the international commerce and generates further headwinds."

"I believe there are fields where we need to challenge China, but there are also important prospects to export to Chinese markets, including financial services and other sectors of the economic system. We've got to get that balance appropriate."

The chancellor also stated she was cooperating with international partners "regarding our own essential resources strategy, so that we are less reliant."

NHS Medicine Costs and Funding

The Chancellor also acknowledged that the price the National Health Service pays for drugs could go up as a consequence of current discussions with the US government and its pharmaceutical firms, in exchange for reduced taxes and capital.

Some of the world's largest pharmaceutical manufacturers have said recently that they are either pausing or scrapping operations in the United Kingdom, with several attributing the insufficient payments they are getting.

Recently, the government science advisor said the price the NHS pays for drugs would need to rise to stop companies and drug research funding leaving the United Kingdom.

Reeves told media: "It has been observed because of the payment system, that medical research, recent pharmaceuticals have not been offered in the UK in the manner that they are in other continental states."

"We want to guarantee that people receiving treatment from the National Health Service are can receive the best essential treatments in the globe. And so we are reviewing all of that, and... aiming to attract increased capital into the UK."