The EU has approved retaliatory tariffs on the US after votes. Duties of between 10% and 25% will be placed on products including tobacco, poultry, steel, aluminium, and motorcycles. 26 out of 27 voted in favour – Hungary against. 15 were required for the motion to pass…
The tariffs are worth €22 billion. The Commission previously plotted tariffs on more goods worth €26 billion – threats from Trump to impost 200% tariffs on EU alcohol products put paid to plans to tariff American bourbon. The Commission is still to respond to additional 25% car tariffs and 20% on EU goods…
Andy Haldane, Burnham’s recent adviser on the economy who has not taken up a No10 job, told Andrew Marr on LBC:
“The market now suspects that this is a traditional tax-and-spend socialist government with better TikTok videos…
imposing windfall taxes on oil & gas or on banks or upping capital gains tax would […] repeat the mistake that Rachel made […] The Achilles heel, the fiscal Achilles heel of this government thus far has been its unwillingness and/or inability to cut public spending.”