Downing Street says that Trump rates report “New Era” in Global Economics | Trump rates
Donald Trump’s rates report a new global economic era, said Downing Street, as economists warned that the British government would probably have had to increase taxes in response.
N. 10 said the prime minister on Friday believed it The commercial announcement of this week by the President of the United States, who started a global commercial war e The stock markets sent in collapseHe marked a turning point in history.
Keir Starmer should speak with European leaders and Commonwealth in a series of calls in the next few days before leaving on Monday as he intends to answer more completely.
Senior parliamentarians invited him not to give too much base to Washington in commercial interviews, warning against the attempt to become “the 51st state of the United States”.
The prime minister should say next week that wants to cut bureaucracy and remove more planning restrictions in order to increase growth, but experts say that it is unlikely that this fills a new black hole in the autumn budget.
A Downing Street spokesman said: “The global economic panorama is moving and we must move with it through the revision of our planning system, carrying out our industrial strategy and cutting the bureaucracy in excess. We are already embracing the new era and ready to face it.”
The ministers said they were still optimistic that they could agree on a commercial agreement with the United States in the coming weeks that would avoid the worst of the direct impact of the rates. Hopefully the negotiations will be restarted next week.
The large contours of an agreement have been drawn up and include concessions in a series of areas, including a lower digital service fee on US technological companies and reduced rates on some agricultural products. The government has not denied the news according to which the agreement includes a commitment to review the application of the rules on security and online digital competition of the United Kingdom.
Liam Byrne, president of the work of the Committee for commercial and commercial activities, has warned the ministers not to make too many concessions. “The rates of President Trump could hit our economy so hard that they lose billions and billions of tax revenues. So, yes, we should be flexible – but there are limits,” he said.
“We are not trying to become the 51st state of America. Sacrificing high standards or strong rules of competition would make us more risky, weaker and less productive. Basically, any agreement with the United States must be combined by a more daring strategy to deepen the ties with many, many nations of free exchange of freedom all over the world-lining with our closest neighbors in the EU”.
Alistair Carmichael, the democratic liberal president of the environment, the business committee of the rural areas, warned the government not to give too much to agricultural and food policy.
“The previous government has given a lot, but they gave it to markets that didn’t matter so much. America is a market that matters, and if you give it up, you will never take it back,” he said. “We have a really high and standard environmental animal and America with very different rules.”
Chi OnWurah, president of the work of the Committee for scientific and technological selection, said that, although successful commercial interviews were fundamental, “technological adoption depends on the trust of the public and investments and it is important that the British people know that technological policy is made in Great Britain for the benefit of Great Britain”.
Economists say that the probable slowdown of the global economy caused by the rates will have such a significant impact on the United Kingdom – with or without an American commercial agreement – that will force the chancellor, Rachel Reeves, to increase taxes in autumn.
Paul Johnson, the director of Institute for fiscal studiesHe said: “I would have thought that the central expectation now should be that if it attaches to its tax rules, it will have to increase taxes in the autumn of a significantly significant amount.
“Taking the revision of the shopping as indicated, and since there is much more to have from well -being, so there is really just taxes.”
He said that Labor’s promises not to increase important taxes including income tax, national insurance and VAT, have meant that an option could be a “sample of defense and safety”, with the proceeds intended for the expected increase in defense expenditure. Johnson added: “An advantage of Reeves is that it will now be easy enough to claim that the world has changed”.
Treasury sources claim that it is too early to start planning this year’s budget, but on Friday they stressed that Reeves intended to stick to his loan rules. “Our largest economic strategy remains the same: we must offer stability to make the United Kingdom an attractive place to invest,” said a Whitehall official.
Downing Street said on Friday that Starmer thought that Trump’s rates would have had a lot of impact on the global economy as his transition from Europe was having on security policy.
David Lammy, the secretary of foreign foreign ones, went further, saying during a visit to Brussels that he had regretted a “Return to protectionism” From the United States, which was “something that we have not seen for almost a century”.
No 10 refused to echo the language of Lammy, but defined the decision of Trump “disappointing”, in contrast to the same president of the United States, who said Starmer told him he was “very happy” with the UK rate of 10%.
A spokesman for No 10 said: “We have to understand – just as we understood it for defense and security – the world that changes when it comes to trade and economy. It is there that we are, with the beginning of a new era”.
