The Worsening Impact of Brexit on the UK Economy
Since the Brexit trade deal, UK goods exports to the EU have fallen by 27% and imports by 32%, significantly impacting small businesses due to increased regulations and non-tariff barriers
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Since the Brexit trade deal, UK goods exports to the EU have fallen by 27% and imports by 32%, significantly impacting small businesses due to increased regulations and non-tariff barriers
UK inflation rose to 3% in January 2025, moving further from the Bank of England’s 2% target. Despite rate cuts, prices remain high, driven by food costs and VAT changes. Wage growth outpaces inflation, but rising living costs continue to strain households.
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Donald Trump has not confirmed tariffs on the UK but may still indirectly impact the economy through slowed global trade growth, increased borrowing costs, and diverted exports. Analysts warn of risks to industries like steel and automotive, as well as financial market volatility.
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