The Prime Minister’s official spokesman has admitted Donald Trump’s “Liberation Day” tariffs could push the UK into a recession.
On Monday markets in the UK, Europe and Asia tumbled as Trump’s tariffs are set to be imposed on Wednesday for imported items globally.
The FTSE 100 fell by more than 1% today, Germany’s Dax and the French Cac 40 was down by over 1.7%.
Susannah Streeter, head of money and markets at Hargreaves Lansdown, cautioned “the last day of March is spring-loaded with uncertainty” amid Trump’s tariffs.
Streeter added, “He [Trump] appears determined to target countries across a range of sectors,” and investors safe haven of gold has risen above $3,100.
Streeter added, “The gold rush has sparked a rush of interest from individual investors.”
Downing Street said they were hoping there could have been a “UK-US economic prosperity deal” that would exempt British items from tariffs.
The Prime Minister’s official spokesman was asked will there be a deal signed by Wednesday with Washington, he said he is “not going to put a time frame on those discussions” and they will “likely to continue beyond Wednesday.”
The US President’s tariffs hit the UK and Downing Street has warned they are expecting “the UK to be impacted” by Trump’s levies.
Sir Keirs Starmer’s spokesman said, “When it comes to tariffs, the Prime Minister has been clear he will always act in the national interest, and we’ve been actively preparing for all eventualities ahead of the expected announcements from President Trump this week, which we’d expect the UK to be impacted by alongside other countries.
“Our trade teams are continuing to have constructive discussions to agree a UK-US economic prosperity deal.
“But we will only do a deal which reflects this Government’s mandate to deliver economic stability for the British people. And we will only act in the national interest.”
