Oil prices have hit a record high and smashed the psychologically important barrier of $100 dollars a barrel.
Violence in Nigeria, Algeria and Pakistan and the effects of colder weather pushed up prices after the New Year break.
The latest surge has been caused by concerns about supplies, and if prices remain at these higher levels consumers could see the effects in weeks.
The immediate impact would be higher petrol, diesel and home heating oil.
Further down the line it could result in higher inflation and with that comes the threat of a jump interest rates.
All of these factors will make the backdrop to the pay talks more difficult.
Last year oil prices rose by 58%.
