Chancellor John Healey has vowed not to let supermarkets 'take the public for a ride' as the Iran war continues to cripple drivers at the petrol pumps.The former defence minister insisted he would be closely watching in a bid to protect the public from price gouging at the pumps.However, he also conceded that he could not 'completely stop the squeeze' on families and businesses amid the Iranian conflict.It comes as the new Prime Minister Andy Burnham promised to give families and businesses 'breathing room' following a cost-of-living crisis that has lasted years.Fuel costs skyrocketed earlier this year after Iran cut off access to the Strait of Hormuz, which carries around 20 per cent of the world's oil and gas supplies.Petrol prices are now at their most expensive since 2022, with unleaded having reached 160p per litre, according to the RAC.Meanwhile, Mr Healey signalled he would be ready to intervene to protect consumers from unfair price rises at home.'We'll be watching closely for any suggestions that customers are being taken for a ride at the pump or the till,' he said.He described the willingness of firms to work with him amid the ongoing crisis as positive, and said there was no 'significant evidence' of supposed 'price gouging'.But he reassured the public that regulators will have the powers to 'clamp down on it if it happens'. Chancellor John Healey (left) and Prime Minister Andy Burnham right attending a family centre in Sheffield on July 31, 2026 in Sheffield John Healey (pictured on July 21) vowed not to let supermarkets 'take the public for a ride' as the Iran war continues to cripple drivers at the petrol pumpsIt comes as Mr Healey said he had spoken to international counterparts in his first days as chancellor about their joint economic response to the ongoing war in Iran.'Being frank, we can't completely stop the squeeze that families and businesses will feel with a global shock of this scale,' he added.He said the government would be 'active' and 'hands on', adding that they would put 'British interests firsts' and allow breathing space to those feeling the financial crunch.He added that they would make the country 'more resilient so we can better weather these shocks in the future'.Mr Burnham has announced a succession of measures aimed at alleviating cost-of-living pressures, such as a cut in VAT on energy bills and capping bus fares at £2 throughout 2027 since taking office.The Prime Minister reiterated on Sunday that he would like to take further action to bring down utility bills and rail fares.'I think rail fares are too high, outrageously so in some instances. So that's something that's in my sights.'I mentioned VAT and electricity bills. It's a short-term measure at this moment, but let's see where we can go with that,' he told the Sunday Mirror.The raft of measures Mr Burnham has unveiled, including cutting business rates for pubs and an expansion of technical training in schools, are likely to require additional spending.Mr Healey promised that his first budget would be 'built on fiscal discipline' as he revealed this week that it would take place on October 28.Officials have said Mr Burnham and Mr Healey agreed the Budget must have a built-in £23.6billion buffer against the Government's self-imposed borrowing rules, the Financial Times reported.He and the Prime Minister have written to the Cabinet to make clear there is no new money coming for the fresh pledges, he told The Times.Departments need to be ready to 'shift funding away from unproductive or legacy programmes that no longer reflect this administration's priorities,' he wrote in the letter.Earlier this year, the previous Chancellor Rachel Reeves tried to put pressure on retailers to cap food prices in a bid to limit inflation as the Iran war raged on.She received backlash for the proposals from supermarket bosses, which saw Ms Reeves abandon the idea.M&S chief executive Stuart Machin branded the proposals 'preposterous', meanwhile, Andrew Bailey, the Governor of the Bank of England, described the idea as 'unsustainable'.