Rachel Reeves refuses to say if UK will ‘retaliate’ to Donald Trump commerce conflict threats
Rachel Reeves has swerved questions on whether the UK would retaliate if Donald Trump slaps tariffs on imports.
The president-elect has threatened to impose a 10-20% duty on all US imports that experts have sugested could cost the British economy over £20billion. Speaking on Friday the Chancellor warned tariffs would push up prices for consumers in both Britain and the United States.
But pressed repeatedly if the government would retaliate, Ms Reeves told ITV News: “We’re not at that stage. We’re not passive in these negotiations. Free trade benefits the US and the UK.” She added: “No specific tariffs have been recommended or suggested.”
Ms Reeves also said: “We look forward to working closely with president-elect Donald Trump. We’ll make represenations for free and open trade.”
It came as the Chancellor was dealt a blow with official data showing UK economic growth slowing between July and September. The economy grew by 0.1% over the period, versus 0.5% growth between April and June, the Office for National Statistics (ONS) said.
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Responding to the figures, she admitted: “Improving economic growth is at the heart of everything I am seeking to achieve, which is why I am not satisfied with these numbers.
She added that she wanted growth to “be stronger, to come sooner, and also to be felt by families right across the country”.
Taking questions from factory staff at an aviation centre in North Wales, Keir Starmer also admitted he was not pleased with the economic figures. He said: “Growing the economy, making sure everybody feels better off, by which I mean more money in your pocket, is the number one mission of this government.
“The growth figures this morning were not good enough, not satisfactory, so we need to push on.”
Liz McKeown, ONS director of economic statistics, said some sectors like retail and construction performed well, but added: “Generally, growth was subdued across most industries in the latest quarter.”
