G7 leaders meeting for a summit in the Bavarian Alps on Sunday are seeking a deal to impose a “price cap” on Russian oil as the group works to curb Russia’s ability to finance its four-month war in Ukraine.The goal would be for a broad range of countries going beyond the G7 to impose a ceiling on the price paid for Russian oil in order to limit the benefit to the Kremlin war machine of the soaring crude price. It would also cushion the impact of higher energy prices on western economies.

The idea has been strongly promoted by the US. Although Germany has long had reservations about it, recent comments by German officials suggest that Berlin is coming around to the idea.

Charles Michel, the president of the European Council, said leaders would discuss the oil price cap in the hours ahead, stressing the need for a “clear vision” and awareness of the possible knock-on effects.