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Treasury head Rachel Reeves has stated she is planning "targeted steps to address household expense pressures" in the forthcoming financial statement.

During an interview with media outlets, she noted that reducing inflation is a collective duty of both the government and the central bank.

The United Kingdom's price growth is projected to be the most elevated among the Group of Seven developed nations this calendar year and the following year.

Possible Energy Bill Interventions

It is understood the government could take action to bring down energy bills, for instance by cutting the current 5% level of value-added tax applied on energy.

Another option is to reduce some of the government charges presently included in household expenses.

Fiscal Constraints and Expert Predictions

The administration will receive the next assessment from the official forecaster, the OBR, on Monday, which will reveal how much room there is for such measures.

The view from most economists is that Reeves will have to declare higher taxes or expenditure reductions in order to adhere to her declared borrowing rules.

Previously on Thursday, analysis indicated there was a £22 billion gap for the chancellor to address, which is at the lower end of forecasts.

"It is a joint responsibility between the central bank and the government to bear down further on some of the sources of inflation," Reeves stated to the BBC in Washington, at the yearly gatherings of the IMF and global financial institution.

Tax Pledges and International Issues

While a great deal of the focus has been on expected tax rises, the Treasury chief said the latest figures from the fiscal watchdog had not changed her pledge to election pledges not to increase tax levels on income tax, sales tax or National Insurance.

She blamed an "uncertain world" with growing international and commercial concerns for the fiscal revenue measures, probably to be focused on those "most able to pay."

Global Trade Tensions

Addressing worries about the United Kingdom's trade ties with China she said: "Our security interests invariably are paramount."

Recent declaration by Chinese authorities to increase trade restrictions on rare earths and other materials that are essential for high-technology manufacturing led American leader the US President to suggest an additional 100% import tax on imports from China, increasing the possibility of an full-scale trade war between the two economic giants.

The US Treasury Secretary labeled the Chinese decision "economic coercion" and "a global supply chain control attempt."

Questioned on considering the American proposal to participate in its conflict with the Asian nation, Reeves said she was "very concerned" by Chinese actions and urged the Chinese government "not to put up barriers and restrict access."

She said the decision was "harmful for the international commerce and causes further obstacles."

"In my view there are areas where we need to confront China, but there are also significant opportunities to sell into China's economy, including banking sector and other areas of the economy. We've got to maintain that balance correct."

The Treasury chief also confirmed she was cooperating with other major economies "regarding our own essential resources plan, so that we are reduced dependence."

NHS Drug Costs and Funding

Reeves also recognized that the price the National Health Service spends on pharmaceuticals could go up as a result of current discussions with the US government and its pharmaceutical firms, in return for reduced taxes and investment.

A number of the world's largest pharmaceutical manufacturers have said recently that they are either pausing or abandoning projects in the United Kingdom, with several attributing the low prices they are obtaining.

Recently, the Science Minister said the price the health service spends on medicines would need to rise to stop companies and drug research funding departing from the UK.

The Chancellor informed media: "We have seen because of the payment system, that clinical trials, new drugs have not been offered in the UK in the extent that they are in other continental states."

"Our aim is to guarantee that patients receiving treatment from the NHS are able to obtain the best life-saving treatments in the globe. And so we are examining these issues, and... looking to attract more capital into the UK."