Iran has expressed its intention to reopen talks on its nuclear program with major powers, but both Washington and the European Union have denied this and called on Tehran to demonstrate its readiness for engagement. Despite the denial, tensions are rising over Iran's nuclear activities, with the US and other countries alleging that it is pursuing nuclear weapons. Iran denies these accusations. The EU is planning to increase sanctions against Iran, including an embargo on its oil exports and potentially freezing the assets of Iran's central bank. Protecting non-oil trade from sanctions is still under discussion. In the current financial climate, it is important to manage your wealth effectively and make the most of your ISA while avoiding common mistakes. Iran has warned that it will close the Strait of Hormuz, a vital route for a significant portion of the world's oil trade, if it is unable to sell its own oil. This has raised concerns about the possibility of conflict in the Gulf region and potential escalation in the Middle East. Iranian officials have mentioned that President Barack Obama has shown willingness to engage in negotiations through a letter to Tehran, which could potentially ease tensions and stabilize oil prices. Iranian Foreign Minister Ali Akbar Salehi has stated that discussions are currently underway to determine the location and date of the negotiations, with Istanbul being a likely venue. The day is not yet settled, but it will be soon." Washington denied any ongoing discussions about resuming talks, but did not confirm whether Obama had sent a letter to Tehran. State Department spokeswoman Victoria Nuland stated on Wednesday that there were no current talks happening, but emphasized that if Iran is serious about discussing their nuclear program openly and honestly with the international community, the US is open to that. White House spokesman Jay Carney also refused to comment on reports of a letter, stating that specific diplomatic communications are not discussed. The United States is urging countries to decrease their purchases of Iranian oil in accordance with a new sanctions law signed by Obama on December 31. The denial from the State Department was supported by a spokesperson for EU foreign policy chief Catherine Ashton, who represents the six world powers attempting to engage with Iran. According to the spokesperson, there are currently no negotiations taking place for new talks, as they are still waiting for Iran to respond to the proposals made by Ashton in her letter from October. British Foreign Secretary William Hague emphasized the need for Iran to be prepared for serious negotiations. "It is important to note that while we are considering further sanctions within the European Union, Iran has expressed interest in negotiations," he stated. "The possibility of negotiations will not prevent us from enforcing additional sanctions. We are looking for concrete negotiations," he explained during a press conference in Brazil. "Without meaningful negotiations, the pressure for legitimate but peaceful actions will persist," he added, mentioning an upcoming meeting of EU ministers to discuss imposing an oil embargo on Iran. Tehran maintains that its enrichment activities are for peaceful purposes, such as power generation and medical use, and denies any intentions of developing nuclear weapons. Defense Secretary Leon Panetta stated that the U.S. military is fully prepared to handle any threats from Iran regarding the closure of the Strait of Hormuz. Ashton communicated with Iranian negotiator Saeed Jalili to emphasize the West's desire to resume discussions, but Iran must be willing to engage in meaningful talks about ensuring the peaceful nature of its nuclear program. Iran has consistently focused discussions on broader international security issues rather than its nuclear activities. The last negotiations between Iran and the permanent members of the U.N. Security Council, along with Germany, stalled in Istanbul a year ago due to disagreements on the agenda. A U.N. nuclear watchdog report has raised concerns about Iran's nuclear weapon development. EU foreign ministers are likely to approve a gradual ban on imports of Iranian oil during a meeting on January 23, following a recent US law that would prevent transactions with Iran's central bank. There is progress on the central bank issue, with discussions ongoing. Iran has expressed willingness to negotiate but has also begun moving uranium enrichment to a more secure location in response to potential air strikes from Israel. According to Western diplomats, Tehran needs to demonstrate a willingness to change its direction in any future negotiations. Tehran insists that other countries must respect its right to enrich uranium, which can be used for nuclear weapons if enriched to higher levels than needed for power plants. Russia, a member of the six power group, has criticized the new EU and U.S. sanctions and warned against the military option proposed by the United States and Israel, saying it could trigger a devastating war in the Middle East. Israeli Prime Minister Benjamin Netanyahu, while visiting the Netherlands, reiterated his stance that Iran should not be allowed to develop nuclear weapons. Earlier in the day, Defence Minister Ehud Barak stated that any decision on an Israeli attack on Iran is a long way off. China and Russia both oppose Western efforts to prevent Iran from exporting oil. China criticized the U.S. sanctions signed into law by Obama on December 31, stating that they were not in accordance with international law. Iranian politicians claimed that Obama wrote a letter to Supreme Leader Ayatollah Ali Khamenei in response to Iran's threat to close the Strait of Hormuz if sanctions hindered their oil sales. Members of Iran's parliament discussed the letter on Wednesday, mentioning that it included an offer for direct negotiations. Lawmaker Ali Mottahari was quoted by the semi-official Fars news agency as saying, "The letter stated that closing the Strait of Hormuz is our 'red line' and also requested for direct talks."