Downing Street said Prime Minister Keir Starmer spoke with Kuwait’s Crown Prince Sheikh Sabah Al‑Khaled Al‑Hamad Al‑Mubarak Al‑Sabah on 19 March 2026, condemning Iran’s strikes on Kuwait’s refineries a day earlier, offering condolences and urging de‑escalation. Both agreed on the need to reopen the Strait of Hormuz and to keep working together on regional defence. (gov.uk)

Since then, Kuwait’s Mina Al‑Ahmadi refinery has again been hit by Iranian drones, with fires reported on Friday 20 March, days after Israel struck Iran’s South Pars gas field. Kuwaiti officials said crews were working to control the blaze as cross‑border attacks continued. (apnews.com)

For markets, the Hormuz reference matters. Around 20.9 million barrels per day of oil and products transited the strait in the first half of 2025-about one‑fifth of global petroleum liquids consumption-according to the U.S. Energy Information Administration. (eia.gov)

Freight forwarders and carriers say transits have largely ground to a halt and bookings across Gulf ports have been suspended; maritime data points to roughly 200 crude and product tankers stranded awaiting safe passage. That helps explain why reopening Hormuz dominated the UK–Kuwait call. (mykn.kuehne-nagel.com)

The cost of sailing has jumped. S&P Global reports hull war premiums for Gulf voyages have quadrupled to around 1% of ship value and P&I clubs cancelled parts of their war cover with 72‑hour notice; OPIS flagged new Gulf war‑risk premia taking effect from 7 March. For large tankers, that pushes single‑voyage insurance into the millions. (spglobal.com)

Price action tells the story. Brent crude briefly topped $119 a barrel on 19 March before easing, after surging earlier as traders priced a longer disruption through Hormuz and the risk of further strikes. (apnews.com)

Supply adjustments are already visible. Kuwait Petroleum declared force majeure and began cutting output, the UAE reduced production as storage filled, and Qatar temporarily halted LNG after attacks-moves that tightened balances and lifted European gas futures. (fortune.com)

For UK households, the near‑term picture is stable. Ofgem has set the April–June price cap at £1,641, a 7% fall from £1,758 in January–March. If wholesale prices remain elevated into spring, the earliest pass‑through risk is the July cap-due 27 May-rather than bills changing now. (ofgem.gov.uk)

Inflation had been easing into the year-ONS put CPIH at 3.2% in January-but motorists are already seeing higher pump prices. RAC‑tracked averages show unleaded around 142p per litre on 18 March as crude rallied, a reminder that fuel is the fastest transmission channel. (ons.gov.uk)

For SMEs, the immediate task is practical. Speak to forwarders about diversions via the Cape and revised voyage times, confirm any war‑risk surcharges and exclusions on cargo cover, and build a little extra working‑capital headroom to cope with two to four weeks of longer lead times on Gulf‑sourced inputs.

Even if diplomacy restores safe passage soon, damaged refineries and terminals take time to restart. That means physical flows and inventories normalise only gradually, even if futures cool from their highs. (apnews.com)

The UK–Kuwait call signals two tracks-de‑escalation and practical defence. For investors, the working assumption is higher war‑risk costs, longer routes and a higher floor under energy prices until there is credible progress on reopening Hormuz.