US-Iran war drives global oil prices above $100 per barrel, raising fuel costs worldwide

The US-Iran war, which began in February 2026, has caused global oil prices to surge from $65 to over $100 per barrel by mid-September. This has led to record fuel prices in many countries, including the UK, where diesel reached 199.18p per litre on September 28, and the US, where diesel averaged $6.52 per gallon. Supply disruptions, particularly Iran's blockade of the Strait of Hormuz, have driven the price increase. In response, countries have released strategic reserves, but these are now depleted. China's rising oil demand may cause further price hikes. The war has also added billions in fuel costs for Americans and affected other nations, with France experiencing fuel shortages.