Oil prices are moving higher as tension and sanctions between the US and Iran escalate, based over Iranian nuclear ambitions.

Iran has threatened to close the Straits of Hormuz, a key oil shipping route, as the US hardline financial sanctions have caused the Iranian Riyal to drop by 10% in a week and have just fired two test rockets with a range of 1,500 miles in response

High energy prices have been partially responsible for the surge in UK inflation, which peaked at 5.2% and on a downward path, currently at 4.8%, so another spike upwards in oil prices will be no help at all, in the UK, or anywhere else outside of the oil producing nations.