UK Politics

Keir Starmer’s government could hit the US with retaliatory tariffs if the UK cannot strike a trade deal with Donald Trump. Business Secretary Jonathan Reynolds told MPs that ministers will look at “possible retaliatory action” in response to 10 per cent levies on British goods entering the US,as officials work through 417 pages of products they could target. It comes as the prime minister was unable to rule out another tax raid or more cuts to benefits in a bid to balance the government books. The Office for Budget responsibility (OBR) had already warned Trump tariffs would wipe out all the fiscal headroom established by chancellor Rachel Reeves in her spring statement last week.And as businesses began to assess the economic turmoil unleashed by the US president the Federation of Small Businesses (FSB) revealed that around a third (32 per cent) of small and medium sized firms have been hit by the tariffs.Prime Minister Sir Keir Starmer (Jonathan Brady/PA) More

Welcome to an exclusive Ask Me Anything session with me, John Rentoul, The Independent’s chief political commentator.Keep scrolling for more. If you want to jump straight to the Q&A, click here.Donald Trump has launched a fresh wave of tariffs, including a 10 per cent duty on all British exports to the US, in a dramatic escalation of his trade war. Dubbed “Liberation Day”, the president’s announcement has sent shockwaves through global markets, with European nations hit even harder, some facing tariffs of up to 34 per cent.The UK government, under Keir Starmer, has so far failed to secure an exemption, though officials insist negotiations are continuing. Ministers argue that Britain’s 10 per cent tariff – half the level imposed on EU nations – is a sign of their diplomatic strategy paying off; although Brexiteers claim it as a benefit of leaving the EU. Even so, British businesses, especially in the automotive and manufacturing sectors, will still suffer.In response, the Labour government is balancing two key trade relationships: managing the fallout with the US while fending off calls to pivot back towards Europe. At home, Starmer’s administration is under pressure to act decisively. The prime minister insists he will take a “calm, pragmatic” approach, refusing to be drawn into retaliatory tariffs. Business leaders, however, are growing increasingly concerned.So, what does Trump’s latest move mean for the UK economy? How will it impact post-Brexit Britain’s place on the global stage? And what should Starmer’s next steps be?Join me live at 1pm BST on Friday, 4 April, as I tackle your questions on tariffs, Brexit, UK-EU relations, and what the markets might do next.Submit your questions in the comments below. If you’re not already a member, click “sign up” in the comments section to participate. For a full guide on how to comment, click here.Don’t worry if you can’t see your question right away – some may be hidden until the Q&A starts. See you at 1pm! More

Within minutes of Donald Trump’s announcement on so-called “reciprocal tariffs” around the world, Brexiteers were claiming victory because the UK escaped with half the rate imposed on the EU.But if the UK’s 10 per cent import tariffs to the American market compared to the EU’s 20 per cent, is the best economic justification for Brexit that can be made, then supporters of leaving the EU are clutching at straws.The first and most obvious point is that Brexit has not spared the UK from having tariffs imposed on it by the one world leader who was the biggest cheerleader outside Britain for the UK leaving the EU.Trump with his tariffs list More

Donald Trump was “acting for his country” when he slapped a 10 per cent tariff on all British exports to the United States, Sir Keir Starmer has said. The prime minister vowed to act in Britain’s interests in return, but indicated he would not hit back with retaliatory measures and instead would “keep a cool head”.As he met business leaders to discuss the measures in Downing Street, Sir Keir warned: “Clearly, there will be an economic impact from the decisions the US has taken, both here and globally.”Keir Starmer is seeking to strike a deal with Donald Trump More

Donald Trump has imposed 10 per cent tariffs on all of the United Kingdom’s exports to the United States.There are higher tariffs for cars and car parts – 25 per cent – which will also extend to all computer imports, including laptops.The list includes tariff codes for engines, transmissions, lithium-ion batteries and other major components, along with less expensive parts including tires, shock absorbers, spark plug wires and brake hoses.Trump says the tariffs are the US’s “declaration of independence”.However, UK businesses have labelled them “devastating”.Here is a look at how much trade the UK has with the US, based on figures published by the Office for National Statistics.U.S. President Donald Trump announces tariffs in the Rose Garden at the White House More

British firms have been hit by a 10 per cent tariff on all exports to the United States as Donald Trump ushered in a new era for global trade and pledged America “will no longer be ripped off”.The US president said his “Liberation Day” announcement – in which some nations will pay as much as 34 per cent – was a “declaration of economic independence”.It means that Sir Keir Starmer’s government has failed to secure a carve-out for Britain from tariffs, but while the UK was 13th on a “naughty list” of nations brandished at a White House press conference, it had the joint lowest tariffs along with nations such as Brazil.European Union nations face 20 per cent penalties while China will pay 34 per cent and Cambodia an eye-watering 49 per cent. Switzerland was also hit hard with 31 per cent. Taiwan, which is struggling for survival against threats from China, faces 32 per cent and India is getting 26 per cent.A Downing Street source said: “We don’t want any tariffs at all, but a lower levy than others vindicates our approach. It matters because the difference between 10 per cent and 20 per cent is thousands of jobs. “We will keep negotiating, keep cool and keep calm. We want to negotiate a sustainable trade deal, and of course to get tariffs lowered. Tomorrow we will continue with that work.”Donald Trump with a list of countries that will be subject to ‘reciprocal tariffs’ More

Working age households will be £400 worse off on average next year due to tax hikes, soaring bills and stagnant benefits, a leading think-tank has warned.Days after Rachel Reeves boasted that Labour’s policies will leave families £500 better off, the Resolution Foundation said the outlook for living standards is actually “historically bleak”.In a blow to the chancellor, the left-leaning think tank said Labour’s tax hikes, the Tories’ ongoing freeze on personal tax thresholds and below-inflation increases to working-age benefits will lead to a £400, or one per cent, fall in disposable income for a typical household. The Chancellor made the spring statement last week (Ben Stansall/PA) More

Polish Prime Minister Donald Tusk said Wednesday that his centrist political party was the target of a cyberattack, and suggested that it could have been interference from the east — meaning Russia or Belarus — ahead of Poland’s presidential election next month.Tusk announced on the X platform that his Civic Platform party’s computer system was targeted.“Foreign interference in elections begins. Services point to eastern trace,” Tusk said.Jan Grabiec, the head of Tusk’s office, told the Polish state news agency PAP that the cyberattack consisted of an attempt to take control of computers of employees of the Civic Platform office and the election staff over about a dozen hours on Wednesday.Asked if Tusk was pointing the finger at Russia or Belarus, Grabiec said that would be for Poland’s secret services to comment on, but that in past cases Belarusians have infiltrated Poland’s systems on behalf of Russian intelligence services.Poland is weeks away from the first round of a presidential election, scheduled for May 18. The frontrunner is the Civic Platform candidate, Warsaw Mayor Rafał Trzaskowski, who like Tusk is a pro-European Union centrist. He has been polling around 35%.His main contenders include a conservative backed by the Law and Justice party, Karol Nawrocki, who is second in most polls at a bit over 20%, and a co-leader of the far-right Confederation candidate, Sławomir Mentzen, who has been polling around 20%.If no candidate wins outright with at least 50% of the vote on May 18, a runoff will be held June 1. More