Rachel Reeves received a positive boost from new growth figures, with the UK economy projected to be the third fastest growing in the G7 this year by Niesr. However, the threat of tariffs from Donald Trump could potentially harm the economy, leading to a 0.2 percentage point decrease in GDP growth and impacting inflation rates and interest rates, according to the think tank. Pressure is mounting on Sir Keir Starmer to secure a UK exemption from the tariffs, which were announced by Trump on global steel imports.
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Europe’s ‘happy vassal’ complex
The recent US-EU trade agreement has significantly weakened the EU's global standing, exposing its political vulnerabilities and undermining its climate agenda while highlighting a troubling trend of “vassalisation heureuse.” As Trump’s imperial vision takes shape, the EU struggles to assert its sovereignty amid growing dissatisfaction among Europeans, revealing an existential threat that could reshape international order if not effectively resisted. Want More Context? 🔎
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