Britain may face ongoing 10 percent tariffs on its exports to the United States, even if a trade agreement is reached with the Trump administration, according to warnings from within the President’s own circle.
Government officials are increasingly concerned that securing an exemption from this levy might prove elusive, despite recent shifts in Mr. Trump’s stance on tariffs.
Kevin Hassett, a senior economic advisor to the White House, indicated that negotiations are underway with approximately twenty nations concerning potential trade arrangements. He suggested that the United Kingdom and Australia are among the closest contenders for such an agreement.
As he stated: “I think everybody expects that the 10 percent baseline tariff is going to be the baseline. It is going to take some kind of extraordinary deal for the president to go below there.”
A source within the British government acknowledged this uncertainty, stating that optimism regarding the removal of these tariffs is waning, although circumstances remain fluid. “Things change by the day,” they commented.
Economists have cautioned that a 10 percent tariff rate, coupled with broader global trade tensions, could negatively impact the UK’s Gross Domestic Product (GDP) by as much as 0.6 percent, potentially overshadowing recent positive growth announcements.
Opposition leader Sir Keir Starmer confirmed he has not engaged in discussions with President Trump since the implementation of these tariffs. However, he emphasized the strength of the alliance between the two nations: “We have got a very strong relationship on defence, security, intelligence-sharing. No two countries are as closely aligned as ours.”
UK Economy Shows Growth – But Trade Tariffs Loom Large
The UK economy demonstrated growth in February, expanding by 0.5 percent according to the Office for National Statistics, providing a boost for Labour following a period of minimal gains and contractions.
- This marks a welcome development after months of fluctuating economic performance.
- However, these positive figures do not yet fully account for the potential impact of President Trump’s 10 percent tariffs.
Rachel Reeves, responding to the growth announcement, stated: “The latest growth figures are encouraging signs that our plan for change is working. But we are not complacent. The world has changed. We must go further and faster to kickstart economic growth, provide security for working people and put more money in their pockets.”
Separate Concerns Arise: Allegations of Threats in Grooming Gangs Investigation
Meanwhile, a retired police officer has made serious allegations concerning an investigation into child sexual exploitation. John Piekos, formerly a Detective Chief Inspector, claims he was threatened with arrest after presenting findings related to grooming gangs in Bradford.
- Mr. Piekos alleges that a senior social services official, alongside a uniformed officer, issued the threat during a meeting.
- He stated his investigation involved surveillance of a children’s home for three months and documented multiple instances of grooming and missing children.
