Key facts
- UK government revised internal oil price forecasts upwards.
- Crude oil prices could remain around $100 a barrel until 2028.
- Energy flows from the Gulf are expected to take longer to recover.
The UK government has updated its internal assessments regarding oil price trajectories, projecting that crude oil could sustain prices around $100 per barrel through 2028. This forecast remains in place even under the assumption of a peace agreement between the United States and Iran. The reasoning behind this prolonged high-price outlook is the expectation that energy flows originating from the Persian Gulf region will require a more extended period to return to previous levels.