AhlulBayt News Agency (ABNA): The consequences of the increase in energy prices have not been limited merely to fuel costs; rather, through the intensification of inflation, rising interest rates, and borrowing costs, they have also affected the housing market and the financial capacity of households.
Reuters news agency wrote in a report, "The war against Iran, which has fueled the rise in global energy prices, has also driven the price of diesel to unprecedented levels; such that the average price of diesel at fuel stations in Britain in October reached 2 pounds per liter for the first time, and its price in America also recorded a record of $6.53 per gallon in September."
In addition, the continuation of the energy crisis has confronted the central banks of Western countries with double challenges in implementing contractionary policies and curbing inflation.
According to this media outlet's report, the inflation rate in Britain jumped more than expected in mid-summer and, under the direct influence of the rise in gasoline and diesel prices, reached its highest level since last fall.
Also in Australia, the intensification of this trend forced the country's central bank to raise the interest rate to its highest level in the past 15 years; a decision that has sharply increased the cost of housing loans. For example, the annual installments of an average housing loan worth 731,000 Australian dollars at the current interest rate of 6.2 percent, compared to last year's rate of 5.5 percent, show an increase of about 3,900 Australian dollars.
At the same time in the United States, the jump in the interest rate of 30-year housing loans from about 6.1 percent to nearly 7.5 percent has significantly increased the cost of buying a home and imposed a heavy recession on the activity of applicants in the housing market.
According to the Reuters report, the jump in the price of oil and its products on the eve of the cold season has sharply increased the cost of heating homes. The estimate of the National Association of State Energy Officials of America shows that the cost of home heating in New York State during the upcoming winter may face a 47 percent jump compared to last year. This price shock is also flowing with similar intensity in Britain; such that the analyses of British energy institutions indicate the possibility of a 10 percent increase in the cost of household energy bills in the current quarter.
Furthermore, due to the widespread use of oil and gas as industrial raw materials, the cost of producing and packaging goods has increased. In America, the price of plastic in August increased by about 7 percent compared to October 2025, and this trend exerts more pressure on the prices of consumer goods.
On the other hand, the disruption in maritime transportation and the sharp increase in the production cost of chemical fertilizers, which are dependent on natural gas, have raised the risk of intensifying food inflation in the world. According to data from the Food and Agriculture Organization of the United Nations, these inflationary pressures in the global food market are expected to intensify and continue until 2027.
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