The US government on Wednesday raised its crude oil price forecasts for this winter to near $70 a barrel, and above $60 a barrel for 2006, and said US energy expenditures for 2005 would reach their highest level in 18 years.

The US Energy Department said that the jump in oil, natural gas, petrol and heating oil prices would increase this year’s national energy expenditures to 8.3 per cent of gross domestic product, up from 6.2 per cent in 2002.