The UK government has decided to allow the import of diesel and aviation fuel produced abroad from Russian crude oil. This move is aimed at alleviating price pressure in the domestic market, which has intensified due to the escalation of the conflict in the Middle East.
This is reported by Finway
Reasons and Consequences of the Decision
The changes in import policy are a response to rising costs for British airlines and households. Fuel prices in the country have significantly increased due to disruptions in energy supply related to the closure of the Strait of Hormuz and military actions around Iran. The government is trying to curb inflation and ensure energy affordability for consumers.
The UK’s decision echoes the policy of the United States, which has extended the exemption from sanctions against Russia, allowing the purchase of already loaded Russian oil tankers to support energy-vulnerable countries.
“The new rules will come into effect on Wednesday and will be indefinite, but will be reviewed periodically and may be amended or revoked.”
Labor Market Situation and Additional Measures
Official reports released on May 19 indicate a decline in employment and a reduction in job vacancies in the UK. The economic instability caused by the war with Iran is negatively impacting labor market growth prospects.
Additionally, the British government has announced a time-limited license for the maritime transportation of liquefied natural gas from Russian projects “Sakhalin-2” and “Yamal” in the Russian Far East. The permit is valid until January 1 of next year and aims to partially offset the LNG shortage caused by supply disruptions from the Persian Gulf.