The oil price lept above $80 a barrel last week — its highest level in nearly four years

Surging oil prices are set to add to inflation, with economists warning that higher energy prices could prolong a squeeze on household incomes.

Oil leapt above $80 a barrel last week — its highest level in nearly four years — as Donald Trump’s withdrawal from the Iran nuclear deal signalled the return of sanctions on Tehran, and Venezuela’s economic implosion hit exports.

The boss of Total joined a growing number of analysts and traders last week in speculating that crude could be headed back above $100 a barrel, as the French oil company said it would pull out of its Iran project unless it gets a waiver from US sanctions.

The sharp rise in oil prices has arrived just as Britain was emerging from a