The Bank of England governor has called for global economic cooperation ahead of the spring statement this week, amid a mounting tariff war brought on by Donald Trump.
Speaking at Leicester University on Monday about how to ease trade tensions, Andrew Bailey said: “These two points: domestic macroeconomic forces and trade policy, are not incompatible.
“They sit together. My final point here is that to solve these issues we need authorities to come together and strengthen the rules of engagement in a multilateral setting,” he said.
His comments come after Sir Keir Starmer spoke to the US president about an economic prosperity deal as the threat of tariffs looms over the UK.
A Downing Street representative said the UK was working with the US to build on “our shared strength of that commitment to economic security.”
Trump has imposed tariffs on UK and EU steel and aluminium imports, as well as on Canada, China and Mexico in recent weeks, leading to a wave of retaliatory tariffs around the world.
Pensions, ISAs and stamp duty: The tough choices experts expect Rachel Reeves to make in the Spring Statement
So what are the big decisions facing Ms Reeves, and which direction will she and the government take with them? The Independent spoke to experts to see not just what might emerge from the Spring statement, but how it might affect you.
Shocking figures reveal UK spends double the defence budget on working age benefits
As Sir Keir Starmer faces a potential backlash over plans to end disability payments for around 1 million people, figures from the Department for Work and Pensions show the government spend on all working-age benefits is £117.6bn – representing 4.5 per cent of GDP and is 9.2 per cent of the government’s overall budget.
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Welfare in numbers: The facts behind Britain’s soaring benefits bill
As Labour attempts to tighten Britain’s burgeoning welfare belt, Alicja Hagopian and David Maddox investigate the true cost of the welfare state:
Farage and Reform UK fail to attend anti-Brexit debate
Nigel Farage and Reform UK have come under fire for failing to attend a debate in parliament calling for Britain to rejoin the EU.
The Reform UK leader and the party’s MPs were not present to defend Britain’s withdrawal from the EU, while critics attended en masse to call for closer ties with Europe.
And one MP, Liberal Democrat Europe spokesman James MacCleary, said “where is the honourable member for Clacton [Mr Farage]?”.
“According to Hansard, since his election in July, he has mentioned Brexit just twice,” Mr MacCleary pointed out.
“Surely if this Brexit deal was the monumental success he and others had promised, he’d be reminding us to no end?”
When is the Spring Statement and what do we know so far?
Chancellor Rachel Reeves will speak on Wednesday to give the Spring Statement – with a mix of problematic themes and possibilities to cover as the UK attempts to promote economic growth but also battles with soaring borrowing.
Pledging no more tax raises only leaves a few options for Ms Reeves. Those are primarily around reallocating funds or cutting even more spending – and it’s the latter which appears to be most likely to happen following big tax hikes as recently as October.
While the government are desperate to avoid comparisons with the still-fresh-in-the-memory austerity era, the fact remains that cuts to public spending appears to be Ms Reeves’ best avenue to balancing the books.
Pictured: Farage and new Reform candidate in Frodsham
Bank of England governor calls for co-operation amid tariff war
Bank of England Governor Andrew Bailey has called for global economies to “come together” to help ease trade tensions, amid a mounting tariff war brought about by US President’s Donald Trump’s policies.
Speaking at Leicester University on Monday, Andrew Bailey said: “These two points: domestic macroeconomic forces and trade policy, are not incompatible.
“They sit together. My final point here is that to solve these issues we need authorities to come together and strengthen the rules of engagement in a multilateral setting,” he said.
Tories to increase pressure on grooming gang inquiry
Tory leader Kemi Badenoch has announced that the Tories will lay an amendment to the crime bill for a national inquiry into grooming gangs.
The amendment will fail but could prompt a number of Labour MPs to rebel after they backed the call for an inquiry.Rochdale MP Paul Waugh and Rotherham MP Sarah Champion were among four Labour MPs to back the calls previously.
Ms Badenoch tweeted: “It has now been over two months since Labour announced just five local rape gang inquiries. Yet victims have still heard nothing.
“We need a full national inquiry to reveal the true extent of the systemic abuse and cover ups. We will not standby and allow this horrifying scandal to be swept aside.”
Watch: Reeves defends accepting Sabrina Carpenter tickets
Minister defends pay package of up to £640,000 for public sector post
A pay package worth up to £640,000 for a civil servant has been billed as the “right salary to attract the right person” by the Government.
The Ministry of Defence is hiring a national armaments director (NAD) to ensure the armed forces are properly equipped to defend Britain and to build up the country’s defence industry.
The salary is advertised as between £290,000 to £400,000, plus a bonus of up to 60% of salary per annum. The package also includes a civil service pension with an employer contribution of 28.97%.
Defence minister Maria Eagle defended the proposed package as she told the Commons: “It’s one of the biggest jobs in government and a job that needs the right salary to attract the right person.
“I’m absolutely clear that we will be doing things differently and the national armaments director will be held accountable for making sure that we do.”
Source: independent.co.uk
