Trump's trade war could pose substantial' threat to UK economy, says Bank

Bank of England governor Andrew Bailey warns that a trade war initiated by the US could severely threaten the British economy. With the recent tariffs imposed by President Trump on Canadian, Mexican, and Chinese imports, there is potential for prices to rise, affecting consumer spending in the UK. While there might be hope for a trade deal between the US and UK, the uncertain impact of retaliatory tariffs complicates the economic outlook, especially regarding inflation and productivity in the face of a volatile trading environment.

A full-blown trade war would pose a substantial threat to the British economy, Bank of England governor Andrew Bailey has warned. He remarked, 'The risks to the UK economy and the world economy are substantial...people in Britain would have less money in their pockets.' He acknowledged the potential long-term implications, stating, 'It really is a big episode, in terms of economic history, and we have to take it very seriously.'

Read at www.theguardian.com