US war on Iran was a ‘mistake’, says Reeves

US War on Iran Labeled a ‘Mistake’ by UK Chancellor

Chancellor Rachel Reeves has called the US decision to abandon diplomatic talks and launch a military campaign against Iran a “mistake,” offering a broad critique of the ongoing conflict. During an appearance at the IMF’s annual conference in Washington DC, Reeves emphasized the need for economic stability by reducing tensions, stating that “de-escalation is the most effective economic strategy for the UK and the global community.” She highlighted that the war has already disrupted trade routes and raised concerns about its long-term effects.

Strait of Hormuz and UK’s Stance

The UK has clarified it will not assist the US in its military efforts to control the Strait of Hormuz, a critical waterway for global oil and gas shipments. Reeves noted that the strait was already open before hostilities began, and the current conflict has not necessarily improved security conditions. She pointed to the sharp rise in energy prices since the war started, which has caused a decline in maritime traffic through the passage.

“Friends are allowed to disagree,” Reeves remarked when questioned about whether the growing divergence between the UK and US over the war had strained their longstanding alliance.

The International Monetary Fund (IMF) recently warned that the US-Israeli conflict with Iran could trigger a global economic downturn, with the UK projected to suffer the most among advanced economies. Reeves argued that the war has not made the world safer, as its consequences extend beyond immediate disruptions to the broader economy.

Unclear Objectives of the US Conflict

Reeves expressed uncertainty about the US’s goals in the conflict, stating that the six-week campaign had not clearly defined its purpose. She questioned whether the aim was regime change, the elimination of Iran’s nuclear program, or the resumption of diplomatic negotiations. “The conflict began without a clear exit strategy or a defined objective,” she noted, criticizing the lack of planning.

Meanwhile, US Treasury Secretary Scott Bessent defended the war, asserting that short-term economic challenges were justified for long-term security. He argued that US and Israeli actions had eliminated the “tail risk” of Iranian nuclear attacks on Western nations. However, the UK government has not confirmed that Iran is targeting Europe with missiles, maintaining that there is “no assessment” of such intentions.

Economic Impact and Future Prospects

Despite her sharp criticism of the US, Reeves affirmed the strength of the UK-US relationship, citing the upcoming visit of the King as a sign of continued collaboration. She acknowledged the strain the war has placed on the UK economy, particularly as a major gas importer, but remained optimistic about its recovery. “Our growth will be higher and inflation will be lower if the conflict ends,” she said, noting that the UK economy had exceeded previous forecasts last year.

Reeves also mentioned that the UK and France will host discussions on Friday to explore ways to restore navigation through the Strait of Hormuz under a “proper ceasefire.” She stressed the UK’s readiness to contribute to resolving the crisis, even as it questions the necessity of the initial military escalation.