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Treasury head Reeves has revealed she is preparing "specific measures to deal with cost of living pressures" in the upcoming financial statement.

During an interview with the BBC, she stated that curbing inflation is a joint responsibility of both the government and the central bank.

The UK's price growth is forecast to be the highest among the Group of Seven advanced economies this year and next.

Potential Utility Cost Interventions

Sources suggest the government could take action to reduce energy bills, such as by slashing the present 5% rate of value-added tax applied on energy supplies.

Another approach is to lower some of the regulatory levies presently added to household expenses.

Fiscal Limitations and Analyst Expectations

The administration will obtain the next draft from the independent fiscal watchdog, the OBR, on Monday, which will clarify how much scope there is for these measures.

The consensus from most analysts is that the Chancellor will have to announce tax rises or budget cuts in order to fulfill her self-imposed fiscal targets.

Previously on the same day, calculations indicated there was a £22bn deficit for the chancellor to resolve, which is at the more modest range of expectations.

"It is a joint task between the central bank and the administration to continue tackling some of the sources of price increases," the Chancellor informed the BBC in the US capital, at the conferences of the IMF and World Bank.

Tax Pledges and Global Issues

While a great deal of the attention has been on likely tax increases, the Treasury chief said the most recent data from the fiscal watchdog had not changed her pledge to campaign commitments not to increase tax levels on income tax, VAT or National Insurance.

She attributed an "unpredictable global environment" with increasing geopolitical and trade tensions for the fiscal revenue measures, probably to be focused on those "wealthiest."

International Trade Disputes

Addressing apprehensions about the UK's commercial links with the Asian nation she said: "The UK's national security invariably are paramount."

Last week's declaration by China to strengthen export controls on critical minerals and other materials that are key for high-technology production led American leader the US President to propose an additional 100% tariff on imports from the Asian country, increasing the possibility of an full-scale trade war between the two global powers.

The US Treasury Secretary called China's move "commercial pressure" and "a international production power grab."

Asked about considering the American proposal to join its conflict with the Asian nation, the Chancellor said she was "very concerned" by China's actions and urged the Chinese government "to avoid restrictions and limit trade."

She said the decision was "bad for the world economy and generates additional headwinds."

"I believe there are sectors where we should confront Chinese policies, but there are also important prospects to sell into China's economy, including banking sector and other sectors of the economic system. We've got to maintain that balance right."

The Treasury chief also affirmed she was cooperating with other major economies "on our own critical minerals plan, so that we are more independent."

NHS Drug Pricing and Funding

Reeves also admitted that the price the National Health Service spends on pharmaceuticals could go up as a result of ongoing negotiations with the US government and its pharmaceutical firms, in exchange for lower tariffs and capital.

Some of the biggest global drug companies have said lately that they are either pausing or canceling projects in the UK, with several attributing the insufficient payments they are getting.

Recently, the Science Minister said the price the health service pays for drugs would have to rise to prevent firms and drug research funding departing from the UK.

The Chancellor stated to media: "We have seen because of the pricing regime, that medical research, recent pharmaceuticals have not been provided in the United Kingdom in the way that they are in other EU nations."

"The objective is to guarantee that individuals receiving treatment from the NHS are able to receive the finest life-saving medicines in the globe. And so we are looking at these issues, and... seeking to obtain increased investment into Britain."