The Bank of England has issued warnings about the possibility of interest rates going up substantially this year because of the "energy price shock" caused by the Iran war, which is resulting in high levels of inflation. Currently, rates are set at 3.75%, but there have been warnings of the rate reaching 5.5% if crude oil prices stay above $120 a barrel, potentially pushing inflation to 6.2%. The governor of the Bank of England, Andrew Bailey, emphasized the hardship faced by poorer families due to higher food and energy prices.