US war on Iran was a 'mistake', says Reeves

Speaking at the Invest in America forum, Chancellor Reeves voiced sweeping criticism of the war, stating that while she shares the Trump administration's strong dislike of the Iranian regime, diplomacy was the best path to achieve change and prevent Iran from developing nuclear weapons. She highlighted that diplomatic channels were open before the conflict began. Reeves questioned the US's objectives, noting a lack of clarity over whether the aim was regime change, ending a nuclear program, or prompting negotiations, which were already underway.

The International Monetary Fund (IMF) has warned that the US-Israel war with Iran could plunge the global economy into recession, with the UK projected to be the hardest hit among advanced economies. Reeves acknowledged the significant impact on the UK, a net importer of gas, stating that higher growth and lower inflation would result if the conflict ended. Energy prices have soared since the war began over six weeks ago, causing a sharp reduction in traffic through the key Strait of Hormuz shipping route.

Despite her outspoken criticism, Reeves maintained that the US and UK share a "very good relationship," though former President Trump's recent comments suggested a strained dynamic, stating the UK "were not there" when needed. The UK Prime Minister and French President are set to host talks to discuss navigation through the Strait of Hormuz in the event of a ceasefire.