Trump tariffs to drag global growth down by trillions of dollars April 3, 2025 Donald Trump’s tariffs is set to drag the world economy down by trillions of dollars, according to forecasts by leading economists. The International Monetary Fund estimates the current global economy is worth more than $115 trillion and it has been predicted to grow by around three per cent, per various forecasts. But since Trump announced [...]
UK services and composite PMIs underwhelm economists April 3, 2025 The UK service sector saw a “modest expansion” in March but economists overestimated S&P Global’s purchasing managers’ index (PMI) readings for the month. S&P Global’s latest composite PMI reading, which takes an average of manufacturing and services output for the month, came in at 51.5. The figure points to a slight expansion in UK output [...]
Rachel Reeves: UK will not ‘rush into action’ after Trump’s tariffs speech April 2, 2025 Chancellor Rachel Reeves has indicated that the UK is unlikely to respond quickly to President Trump should he impose damaging tariffs on goods coming from Britain. In a hearing at the Treasury Committee on Wednesday, Reeves said the UK would not “rush into action to get a quick headline”. “The prize on offer is a [...]
Trump’s tariffs could crush UK growth to zero April 2, 2025 US President Donald Trump’s tariffs could knock UK growth down to zero next year, according to the National Institute of Economic and Social Research (NIESR). The prospect of low or zero growth would deal a catastrophic blow to Chancellor Rachel Reeves’ plans for further investment in public services as estimates by NIESR suggest that a [...]
Wage growth falling for low-paid workers despite minimum wage hike April 2, 2025 Wage increases among low-paid workers are at their lowest level in three years, according to the jobs website Indeed, as economists fear high inflation will erode incomes. Business secretary Jonathan Reynolds said on Tuesday that an increase to the national minimum wage would mean that low-paid workers could help drive growth across the UK. But [...]
Trump’s car tariffs to put 25,000 UK jobs at risk, IPPR say April 2, 2025 President Donald Trump’s 25 per cent tariffs on all car imports to the US could destroy thousands of UK jobs, the Institute for Public Policy Research (IPPR) have suggested. The think tank estimates that around 25,000 jobs will come under threat as a result of Trump’s tariffs due to come into effect on Wednesday. The [...]
IFS director: Tariffs risk undermining ‘best case’ OBR forecasts April 1, 2025 Institute for Fiscal Studies (IFS) director Paul Johnson has raised questions about whether the Office for Budget Responsibility (OBR)’s forecasts would remain credible should President Trump slap tariffs on UK goods on Wednesday. The OBR’s report included modelling by the International Monetary Fund (IMF) published in January. The IMF’s analysis did not consider the potential [...]
‘Awful April’ price hikes will cause ‘inflation surge’ April 1, 2025 Sweeping price hikes coming into effect from Tuesday are set to push up inflation, a leading economics consultancy has said, as what many have called ‘Awful April’ is set to put an extra burden on businesses’ costs. Higher costs in everything from water to energy will contribute to a rise in inflation that peaks at [...]
OBR chair: Reeves is exposed to ‘inevitable’ shocks April 1, 2025 The Office for Budget Responsibility (OBR)’s chair Richard Hughes said Chancellor Rachel Reeves’s small headroom means the Treasury has left itself exposed to “inevitable” economic shocks. The role of the fiscal watchdog has come under greater scrutiny since Reeves made cuts totalling £14bn in order to meet her fiscal rules at last week’s Spring Statement. [...]
UK manufacturing woes deepen as industry ‘hit on several fronts’ April 1, 2025 The latest S&P Global’s UK Purchasing Managers’ Index (PMI) shows that UK manufacturing’s woes have deepened. S&P Global’s latest PMI survey, which asks around 600 industrial companies about their performances, suggests that manufacturing is again in the downturn following a poor start to the year. The latest figure showed that it decreased to 44.9, which [...]
