A lack of builders is posing a significant obstacle to the government’s ambitions for expansion

An analysis done for Sky’s Sunday Morning With Trevor Phillips shows that the UK's population increase is significantly exceeding the expansion of its construction workforce.

Authored by Jack Parker, producer for Sunday Morning With Trevor Phillips

Sunday, February 2, 2025, 10:

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This week, Chancellor Rachel Reeves announced that the government will back numerous major initiatives aimed at enhancing economic expansion, in addition to Labour's ongoing commitment to construct 1.5 million new homes.

Significant changes to the planning system are being implemented to achieve goals, yet one of the key obstacles the government encounters in executing these plans is determining who will carry out the construction.

Industry leaders in construction are sounding the alarm over a severe lack of labor. According to the Construction Industry Training Board (CITB), there is a need for at least 50,000 additional workers each year to keep up with ongoing demand.

Research highlighted on Sky News' "Sunday Morning With Trevor Phillips" indicates that the UK's population increase is significantly surpassing the growth of its construction sector workforce.

Since 2019, the United Kingdom's population has increased by 2.5 million, yet the construction sector has seen a reduction of 320,000 workers. Presently, there are only 29 construction workers for every 1,000 residents, marking an all-time low

To tackle the deficit, the construction sector has progressively looked abroad.

Examination of the Annual Population Survey data from the Office for National Statistics reveals that in 2007, approximately one out of every twelve workers in the construction or civil engineering sectors came from abroad. By 2016, this figure had increased to one in seven.

As of 2022, the APS no longer tracks job data based on the country of origin, leaving us without a complete understanding of the current situation.

In July 2023, the Conservative administration led by Rishi Sunak sought to draw in additional foreign construction labor by including positions such as bricklayers and stonemasons on the Shortage Occupation List.

Now known as the Immigration Salary List (ISL), more than 25% of the positions listed are in the construction sector.

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Labour has expressed its intention to decrease the net legal immigration, which is projected to reach 728,000 by June 2024.

Home Secretary Yvette Cooper has initiated a report by the Migration Advisory Committee, due in June, to evaluate which industries depend too heavily on hiring from abroad.

Explore further: Economic expansion is a battle Starmer and Reeves must win. Shell plans to deploy a new gas platform in the North Sea.

Should the influx of construction workers from abroad be restricted, it is anticipated that domestic apprentices would step in to fill the resulting gap.

Official statistics reveal that approximately 15,500 individuals commence apprenticeships in construction annually, yet almost half (47%) fail to complete their programs. This represents a significant increase in the dropout rate, which was 30% in the 2014/15 period.

A study conducted last year by the British Association of Construction Heads identified the primary causes of attrition in the industry as layoffs, terminations, and insufficient pay.

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This implies that fewer than 9,000 individuals annually complete their apprenticeship, which is only one-fifth of the estimated yearly need according to the CITB.

The government is financing 32 training centers designed to provide accelerated learning for an additional 5,000 apprentices annually by 2028, focusing on professions including bricklaying and scaffolding.

In this morning's edition of Sunday Morning With Trevor Phillips, host Trevor Phillips will welcome Home Secretary Yvette Cooper for a conversation on whether increasing immigration or boosting domestic training is the better solution.

Tune in to "Sunday Morning With Trevor Phillips" on Sky News, broadcasting every Sunday starting at 8:30 AM

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The majority believe exiting the EU was an error, yet politicians are unlikely to revisit the Brexit debate. Five years later, several Brexit supporters, Nigel Farage included, admit it hasn't succeeded. But why do major political parties hesitate to acknowledge their mistake to the electorate?

Sky News pundit @adamboultonTABB

Sunday, February 2, 2025, 11:

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This weekend commemorates the fifth anniversary of the United Kingdom's successful departure from the European Union, an event often heralded as "taking back control."

The decision to exit was made via a public vote on June 23, 2016. Following that, it required three and a half years filled with discussions in Brussels, debates and legal challenges in the UK's Parliament, and the involvement of three UK Prime Ministers, before Boris Johnson fulfilled his commitment to "get Brexit done."

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The outcome of the referendum was narrowly decided. Approximately 51.9% opted for departure, while around 48.1% chose to stay, figures which are commonly simplified to 52% to 48%.

In the UK's overall vote, England and Wales predominantly supported the departure, while Scotland and Northern Ireland favored remaining.

Recent survey results indicate that a majority of the population now believes that leaving the EU was an error.

Marking the fifth anniversary, YouGov posed the question: "Looking back, do you believe it was correct or incorrect for Britain to exit the European Union?"

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The outcome showed 55% indicating it was "Incorrect" and 30% saying it was "Correct". Remarkably, three-quarters of the 18 to 25-year-old group, who largely were ineligible to vote in the referendum, believe that the decision to leave was erroneous.

Support for the Leave campaign appears to be declining, yet clear divisions remain within political parties. Sixty percent of those who voted for the Conservatives in the previous election, along with eighty percent of Reform UK backers, continue to believe that leaving was the correct choice. Conversely, eighty percent of voters for both the Labour and Liberal Democrat parties believe it was a mistake.

Warnings from those opposed to Brexit that the economy would instantly collapse did not come to fruition, yet the UK has not thrived since its departure from the EU.

The number of Europeans in the nation has declined, yet overall immigration figures have soared to unprecedented heights post-Brexit.

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"Gradual tire deflation"

Disentangling the effects of Brexit from other economic disturbances like the COVID pandemic, the Ukraine conflict's impact on energy costs, and rising inflation proves challenging.

Nonetheless, the majority agree with the independent Office for Budget Responsibility's assessment that there will be a long-term decrease in productivity of about 4%.

In the recent publication titled "The Brexit Files" by the UK In A Changing Europe research group, Professor Jonathan Portes commented: "On the whole, the economists' depiction of Brexit as a 'slow puncture' instead of a catastrophic collision has proven accurate."

This indicates that the United Kingdom's ties with Europe, who are both its nearest neighbors and its most significant commercial ally, remain a pressing matter for the nation, despite the hesitance of weary lawmakers to discuss it.

Five years after the referendum, the future direction of the UK remains unclear. The country's major political parties, Labour and the Conservatives, have firmly stated their opposition to rejoining the EU, participating in its single market or customs union, or allowing free movement of people. Prior to the Brexit decision, both parties regarded these elements as crucial for the UK's economic success.

In the legislature, solely the Green party and nationalist groups explicitly favor re-entering the EU.

Discover further: UK Business Secretary suggests possibility of joining European trade zone. Was Tusk advocating for Brussels with his call for 'Breturn'? According to Badenoch, Conservatives exited EU lacking a strategy for economic expansion.

The Liberal Democrats, historically strong supporters of European integration, are gradually regaining their footing after narrowly escaping political oblivion in the 2015, 2017, and 2019 general elections, and are now moving forward with caution.

During the Prime Minister's Questions session last week, the Liberal Democrat leader softly confronted Sir Keir Starmer.

Sir Ed Davey inquired respectfully, "If the Prime Minister remains firm on his stance against a customs union today, could he initiate discussions for the UK to become part of the Pan-Euro-Mediterranean Convention, in order to begin dismantling the trade barriers that have hindered growth, established by the Conservatives?"

In effect, his role might simply serve as a shield enabling a hesitant government to participate in PEM, a pact that includes members beyond the EU.

Numerous proponents of Brexit, such as Nigel Farage, now acknowledge that Brexit has not succeeded. Farage argues that it was poorly handled. His political group, now known as Reform UK, has shifted its focus to issues like immigration and criticizing large-scale government instead of emphasizing the positive outcomes of their successful Brexit vote.

Labour is increasingly worried about the challenge posed by Reform UK in constituencies they currently control, particularly in areas traditionally known as the Red Wall. Sir Keir, previously a supporter of a second referendum, is not inclined to suggest to voters that they erred in their decision. Instead, he's subtly trying to improve relations with the EU, careful not to overstep the boundaries outlined in his 2024 election manifesto.

Since the Labour Party won the election, government ministers have had over 60 meetings with their counterparts from the European Union.

Sir Keir is set to become the first UK prime minister in five years to participate in a meeting with all his EU counterparts.

Under the leadership of Mr. Johnson, Ms. Truss, and Mr. Sunak, these offers were declined.

A yearly summit between the UK and the EU has been established. While the Conservatives had previously formed a Department for Exiting the EU, Sir Keir has now designated Nick Thomas-Symonds, a Cabinet Office minister, with the support of senior civil servant Mike Ellam, to oversee "relations with the EU".

Mr. Thomas-Symonds identifies "three pillars" essential for improving relations: security, safety, and prosperity.

In light of the current threat posed by Russia, there is a shared interest between the UK and the EU in enhancing their security collaboration. This sector appears to be the most straightforward path to better their ties. Notably, defense and foreign affairs are not included in the EU-UK Trade and Co-operation Agreement established post-Brexit.

Explore further political updates: Miliband may struggle with backing for third runway, Senior Conservative intensifies critique on immigration history, Blair and Brown pay homage to Lord Prescott.

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To continue being a reliable force, the UK must secure the necessary funds to uphold its highly regarded military prowess.

Should European nations increase their defense spending due to President Trump's urging, a potential issue may arise regarding the extent to which the UK defense sector is allowed to participate in EU countries' defense procurement.

Enhancing security involves reestablishing partnerships in law enforcement, such as rejoining Europol, an organization the UK left voluntarily following Brexit. However, the question remains whether improved diplomatic ties will effectively halt illegal immigration or dismantle criminal networks.

Economic growth hinges on repairing the harm inflicted on trade relations. The EU stands as the largest trading partner for the UK, representing 50% of the goods exchanged. However, this relationship is not reciprocated equally, as only 22% of the EU's goods exports are directed towards the UK. Consequently, securing trade agreements is significantly more crucial for the UK than for the EU.

To realize substantial advantages, the UK needs the EU to reconsider its stance against selective agreements in particular sectors rather than insisting on all-encompassing deals post-Brexit.

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Currently, the primary exports of the United Kingdom are services rather than goods. Government officials are aiming to maintain a low profile in hopes of avoiding the UK's involvement in a potential trade conflict involving tariffs between the European Union and the United States.

What are the prospects for a definitive agreement? Considering the possibility of re-entry or conducting another vote on membership – this assumes, of course, that a wounded EU would be willing to consider welcoming back such an inconsistent and divided partner.

Business mogul and television personality Lord Alan Sugar is known for his straightforwardness. On the fifth anniversary of Brexit, he stated, "The greatest catastrophe of my lifetime was our exit from the European Union," and urged, "Rejoin the EU."

The UK's counterpart to Donald Trump on The Apprentice might be intimidating, but British mainstream politicians are even more terrified of the unpredictable outcomes that could arise if they revisit the issue of Brexit.

It required three decades for the UK to join Europe and an additional four decades to leave. Don't wait up!

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Home Secretary Yvette Cooper has expressed concerns over companies preferring to hire from overseas instead of developing talent within the UK for "far too long." Speaking on Sunday Morning with Trevor Phillips, Cooper highlighted the issues she sees with the current "relaxed free market approach," noting that it has resulted in a fourfold increase in net migration over the last four years.

Sunday, February 2, 2025, 11:

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The government has committed to halting the practice of companies hiring workers from abroad rather than developing the skills of individuals within the UK.

On the program "Sunday Morning with Trevor Phillips," Home Secretary Yvette Cooper voiced her criticism of the existing "relaxed free market approach" to immigration, attributing it to the fourfold increase in net migration over the last four years.

"She noted that a major factor has been the significant increase in hiring from abroad in various fields where domestic training has declined."

"This has resulted in a laissez-faire economic policy that allows companies to hire from abroad rather than investing in training within the UK."

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She stated that companies must be compelled to demonstrate their efforts in hiring locally through additional mandatory criteria.

Ms. Cooper stated that the government is "developing additional strategies" specifically aimed at sectors like IT, construction, and engineering, where there has been "an excessive reliance on overseas recruitment for too long."

Ms. Cooper announced that the recently unveiled Border Security Asylum and Immigration Bill will integrate the immigration framework with organizations such as Skills England, which participate in planning for workforce needs.

She stated that the government plans to maintain the salary threshold for skilled migrant workers at £38,700, and it has abolished the 20% wage reduction for non-EU international employees that was introduced by the Conservatives in 2019.

She also noted that the ongoing limitations will still apply to foreign graduate students and social care workers wishing to bring family members.

Discover additional details on Sky News: AI-generated images featuring children banned. Leading Conservative acknowledges errors in immigration policy. AstraZeneca cancels plans for a £450 million facility in Liverpool.

The remarks from the home secretary follow a report by the Office for National Statistics (ONS), which forecasts a growth of five million people in the UK's population over the next decade, primarily due to immigration.

In a conversation with Sir Trevor, Andrew Griffiths, the shadow trade and business secretary, remarked, "Certainly, our stance has been straightforward. The Conservative Party has undergone a change in leadership. Previously, immigration levels were excessively high, and during that time, the immigration system experienced numerous shortcomings."

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Rejecting the idea of global digital ID cards

In an article published by the Sunday Telegraph, Chris Philp, the shadow home secretary, criticized the government for dismantling portions of the 2023 Illegal Migration Act that essentially barred individuals arriving via small boats from seeking citizenship.

He further indicated that the administration is planning to undo the Conservative policy that categorizes individuals who decline to participate in scientific age verification as adults.

A spokesperson from the Home Office stated: "The majority of the Illegal Migration Act has yet to be implemented (this includes the section on age assessments); it will not be initiated under the current government's policy.

"Strong procedures are implemented to confirm and evaluate a person's age when uncertainties arise, involving the National Age Assessment Board. We continue to uphold the measures regarding scientific evaluations outlined in the Nationality & Borders Act 2022."

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When questioned on ex-Prime Minister Sir Tony Blair's suggestion that digital ID cards could alleviate immigration issues, Ms. Cooper did not support the idea.

She noted, "While non-UK citizens are required to possess biometric resident permits, these are seldom verified."

Regarding trade policies, Ms. Cooper reaffirmed Labour's position, stating that the UK has no plans to rejoin the Customs Union or the European Single Market, nor will it reinstate free movement rights.

"We'll explore strategies to minimize hurdles, yet rejoining a Customs Union is off the table. Our approach must recognize that we are no longer part of the EU and there's no going back. It's time to progress."

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Liberal Democrat chief Sir Ed Davey dismisses being labeled a 'snivelling cretin' by Elon Musk

Since the election of the Labour government in the UK last July and the ensuing riots caused by false information related to the murder of three young girls in Southport, Elon Musk, the wealthiest person globally, has frequently voiced his opinions on British political affairs.

Sunday, February 2, 2025, 12:

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Sir Ed Davey, the leader of the Liberal Democrats, has dismissed being labeled a "snivelling cretin" by Elon Musk, promising to persist in challenging him.

During an interview on "Sunday Morning with Trevor Phillips," Sir Ed mentioned that his extensive experience in politics has exposed him to frequent insults, and he acknowledged that he also "isn't always complimentary" towards individuals such as Elon Musk.

Elon Musk, currently the wealthiest individual globally, has frequently spoken about British politics following the Labour Party's rise to power in July and the extensive riots incited by false information related to the murder of three young girls in Southport shortly thereafter.

In a recent post on X, Sir Ed expressed exasperation, stating: "Citizens are fed up with Elon Musk meddling in our nation's democratic processes, especially given his apparent lack of understanding about Britain."

"The moment has come to call in the US ambassador to inquire about the reasons behind a US official's proposal that the UK government be toppled."

Mr. Musk responded, "Could you clarify what part of your inability to prevent the widespread assault of young girls in Britain escapes me, you cowardly fool?"

Further details: Musk features in German right-wing movementMusk reacts to gesture at inaugurationMusk's prominent position in government affirmed

The owner of X addressed the issue of grooming gangs in Britain. His remarks prompted calls from Conservative Party members for a new investigation into the matter.

In a conversation with Sir Trevor on Sky News, Sir Ed expressed concern over Elon Musk's statement that the British government, recently elected by the citizens, should be toppled.

He mentioned that despite his disagreements with numerous positions held by President Donald Trump, the UK ought to maintain a working relationship with the US.

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Regarding Mr. Musk, he stated, "This is truly worrisome. We have to hold him accountable."

Sir Ed referred to him as a "dominant tech billionaire," "closest ally of the U.S. president," and "a constant presence in Trump’s Oval Office."

Elon Musk has been named the leader of President Trump's freshly established Department of Government Efficiency (DOGE).

Although it is not an official governmental agency, it has been tasked with reducing red tape and financial expenditures throughout the various federal departments.

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Starmer needs to carefully manage his precarious EU recalibration as the UK anticipates Trump's subsequent tariff decisions.

As Sir Keir Starmer travels to Brussels for discussions, he aims to reshape the UK's ties with the EU, ensuring he also maintains a positive relationship with the US.

Political reporter @wizbates

Sunday, February 2, 2025, 14:

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As Donald Trump initiates his promised trade conflict by imposing tariffs on allies and adversaries alike, Downing Street is bracing for when he shifts his focus to the UK.

The erratic behavior of the re-elected president, now empowered by another term, necessitates that the prime minister prepare for all conceivable outcomes.

Typically, a unique bond could lead to preferential treatment, yet initial indications imply this may not be the case.

The journey was always expected to be challenging, as Sir Keir Starmer's key allies had accumulated a long history of disparaging remarks about Trump during their time in opposition.

The unease persisted following the suggestion that Peter Mandelson could become the UK's next ambassador to the US, leading to rumors that he might be blocked from the position.

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In the midst of these events, the eagerly awaited conversation between the two heads of state was delayed, but when the President of the United States did make the call last Sunday, it was conducted in a friendly manner, with plans for a forthcoming visit to Washington being discussed for the near future.

Amid a somewhat strained atmosphere, the trajectory of trade across the Atlantic looms, as Westminster anticipates the repercussions of the president's forthcoming actions.

Thus, it comes as no surprise that Sir Keir plans to spend the coming days redefining another trading relationship – this time with Europe.

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In this context, his position is somewhat more secure, as the threat of a worldwide trade conflict encourages European leaders to unite more closely to withstand the challenges.

On the flip side, the Labour administration benefits from their historical support for the EU, capitalizing on this as they seek to move past the contentious years under Boris Johnson.

Discover further: Liberal Democrat chief dismisses Musk's slight; Home Secretary cautions against overseas hiring

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Nonetheless, initiating the complex task of dismantling the most cumbersome administrative hurdles left by Brexit remains a bold and perilous venture.

To achieve modest financial gains for both parties, the UK needs to persuade European nations that it is not allowing Britain to "have its cake and eat it too."

Simultaneously, proponents of Brexit in the UK will accuse the government of treachery if there are any indications that the country is subtly re-entering the European Union.

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Navigating these complexities requires careful attention to U.S. politics, especially during President Trump's administration. Although a cohesive Europe is essential now, the prime minister must avoid appearing to favor any side prematurely.

In politics, like in many areas, the situation involves a nuanced equilibrium that carries significant repercussions, especially for a prime minister who has yet to establish his credibility.

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Shadow Business Secretary Andrew Griffith suggested on Sky News that instead of heading to EU discussions, the Prime Minister should redirect his flight to the U.S. to meet with Donald Trump following the imposition of tariffs on Canada and Mexico.

Sunday, February 2, 2025 3:37

The shadow business secretary has stated that Sir Keir Starmer ought to focus on strengthening ties with the US instead of the EU.

Andrew Griffith, who previously served as a Conservative minister, stated that the prime minister, set to meet with EU leaders in Brussels on Monday, "ought to redirect his flight tomorrow to Washington DC."

During an appearance on Sky’s Sunday Morning With Trevor Phillips, Mr. Griffith expressed that the UK economy is currently in need of significant support. He voiced his concerns over the tax hikes included in the chancellor's budget and the falling levels of business confidence.

Last night, President Trump introduced new tariffs targeting Mexico and Canada, raising concerns that he might extend similar measures to the UK, potentially undermining Rachel Reeves' efforts to expand the economy.

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Mr. Trump announced a state of economic crisis which led him to impose a 25% tariff on products from Mexico and Canada, along with a 10% tariff on all goods imported from China.

The tariffs are structured to automatically increase should the affected nations respond, a measure that Canada and Mexico implemented immediately.

In reaction to Canada's countermeasures, Mr. Trump escalated the situation by suggesting that the neighboring nation could become "our beloved 51st state."

Analysis: Prime Minister's Bold Strategy Aims to Counter Trump's Challenge

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Mr. Griffith informed Sky News about the significant risk facing the UK should the global community enter a period of rising tariffs, emphasizing the need for stronger ties with the US.

"The UK relies on free trade. While we don't have specific trade deficits with the United States, our economy currently requires as much support as possible. Since this administration took office, they have undermined confidence and increased taxes, as well as suggested additional bureaucratic hurdles," he stated.

"The UK's economy could use a boost, and a significant chance for improvement lies in strengthening ties with the United States, which is our largest trading ally."

"A trade agreement is already in place with the European Union, and securing a similar pact with the US would represent a significant victory."

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The Labour administration has been actively working to redefine the UK's ties with the EU, focusing on addressing issues like the influx of small boat arrivals across the Channel.

In addition to his trip to Brussels on Monday, Sir Keir is welcoming German Chancellor Olaf Scholz at his countryside home in Chequers today.

Addressing journalists at Chequers, Sir Keir emphasized his commitment to recalibrating UK-EU relations, stating firmly, "this does not mean rejoining the EU."

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"He mentioned that the issue had already been decided through a referendum, yet he emphasized his desire to maintain a strong partnership in areas such as defense, security, energy, trade, and the economy. He noted that fostering these relationships aligns with the UK's best interests."

Explore further: How the scarcity of builders is testing the expansion strategies of the Labour Party and the potential effects of Donald Trump's tariffs on shoppers

Yvette Cooper, the Home Secretary, also emphasized the UK's desire to enhance ties with both the United States and the European Union.

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She acknowledged that the tariffs imposed by Mr. Trump on Canada, Mexico, and China could potentially have a severely harmful effect on the worldwide economic landscape.

"Raising tariffs globally can severely harm international growth and trade, which is something I believe no one wants," she explained during her appearance on the BBC's Sunday With Laura Kuenssberg.

Johnny Reynolds, serving as our Secretary of Business and Trade, is dedicated to enhancing and developing trade connections globally. His primary efforts are directed towards fostering improved trade relations, facilitating smoother trade with the United States, as well as various European nations and other countries worldwide.

"Our goal is to lower the obstacles for commerce to simplify processes for companies."

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Shadow Business Secretary Andrew Griffith suggested on Sky News that the Prime Minister, instead of heading to EU discussions, ought to reroute his flight to the US to meet with Trump following the imposition of tariffs on Canada and Mexico.

Sunday, February 2, 2025, 3:

The shadow business secretary has stated that Sir Keir Starmer ought to focus more on strengthening ties with the US instead of the EU.

Former Conservative minister Andrew Griffith stated that instead of traveling to Brussels for discussions with EU leaders on Monday, the prime minister should reroute his flight to Washington DC.

During his appearance on Sky's Sunday Morning With Trevor Phillips, Mr. Griffith expressed that the UK economy currently requires "all the help it can get," voicing his disapproval of the recent tax hikes included in the chancellor’s budget and the falling levels of business confidence.

Last night, President Trump introduced new tariffs on Mexico and Canada, sparking concerns that he might extend similar measures to the UK, potentially undermining Rachel Reeves' efforts to expand the economy.

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Mr. Trump announced a state of economic crisis, imposing tariffs of 25% on products from Mexico and Canada, alongside a 10% tariff on all goods imported from China.

The tariffs are structured to increase if the affected nations respond in kind, which Canada and Mexico promptly did.

Following Canada's countermeasures, Mr. Trump escalated the situation by suggesting that the neighboring nation could be "our beloved 51st state."

Analysis: Prime Minister's daring new strategy needs to counter Trump's challenge

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Mr. Griffith informed Sky News that the UK faced significant risks if global tariffs began to rise, emphasizing the need to strengthen ties with the US.

"The UK relies heavily on open trade. While we don't specifically have a trade deficit with the United States, our economic situation is in dire need of support, especially now. The current administration has eroded confidence, increased taxes, and is introducing a significant amount of additional bureaucracy," he stated.

"Currently, the UK economy requires assistance, and a significant opportunity presents itself in strengthening ties with the US, which is our largest trading ally."

"We already have a trade agreement with the European Union, so securing a similar deal with the US would represent a significant victory."

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The Labour administration has been striving to redefine Britain's ties with the European Union to address issues like the influx of small boat arrivals across the Channel.

In addition to his trip to Brussels on Monday, Sir Keir is welcoming German Chancellor Olaf Scholz at his countryside home in Chequers today.

Addressing the media at Chequers, Sir Keir emphasized his commitment to redefining the UK's relations with the EU, stating explicitly that this recalibration would not include rejoining the EU.

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He mentioned, "The referendum we held resolved that issue, however, I am keen on maintaining a strong partnership in terms of defense, security, energy, trade, and economic relations. We are actively pursuing this, and I believe it aligns perfectly with the best interests of the UK."

Explore further: How the scarcity of builders is testing the Labour Party's expansion strategies and the potential effects of Donald Trump's tariffs on shoppers.

Yvette Cooper, the Home Secretary, also emphasized the UK's desire to "enhance ties with the US and the European Union," reflecting similar sentiments.

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She acknowledged that the tariffs imposed by Mr. Trump on Canada, Mexico, and China could potentially have a severely detrimental effect on the worldwide economy.

"Raising tariffs globally can severely harm both worldwide economic growth and trade, so it's not something anyone would want," she explained during her appearance on BBC's Sunday With Laura Kuenssberg.

Johnny Reynolds, the Secretary for Business and Trade, is prioritizing the development of trade connections and improving trade relations, while also working to eliminate trade obstacles, not only with the U.S. but also with various European nations and countries globally.

"Our goal is to lower the obstacles for commerce, simplifying processes for companies."

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AstraZeneca's decision impacts Reeves adversely

While the government might possess compelling reasons for rejecting AstraZeneca's requests, maintaining this stance could prove challenging due to the industry involved – the rapidly expanding life sciences; the company's stature – the largest in Britain by market capitalization; and the economic environment – dubious and possibly spreading.

Business and financial reporter @pkelso

Friday, January 31, 2025, 7:

In both its nature and its timing, AstraZeneca's choice to halt a proposed expansion of its flu vaccine production site in Speke represents a setback to the government's current push for economic expansion.

The plan to invest £450 million in the Merseyside facility has been scrapped following a disagreement with the new government over the level of state aid, an action that was met with strong criticism.

"The company cited multiple reasons for the decision, among them the changes in timing and the decrease in the final offer relative to what was proposed by the prior administration," stated the firm, depicting Labour as more doubtful of vaccines compared to the earlier Conservative leadership.

Just two days following Rachel Reeves' address, which emphasized growth, notably in the life sciences sector, her pointed remark likely left some ministers and officials feeling a bit unsettled.

The firm has not released specific numbers; however, it is believed that the agreement made with former Conservative chancellor Jeremy Hunt in March, which was also acknowledged in a Treasury statement, might have involved as much as £90 million in government funding for the project.

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In July, the recently established administration informed AstraZeneca of its intention to reevaluate their agreement. However, following several months of postponement, the pharmaceutical company has been presented with a reduced proposal that it evidently finds unreasonable.

This indicates the level of irritation at the UK's biggest corporation, as it has opted to openly differentiate between the current administration and its predecessor.

AstraZeneca generates merely 2% of its total sales from its domestic market, highlighting significant recent investments in Canada, the US, and Singapore that won't be replicated in its home country.

In a statement, the Treasury stood firm, explaining that adjustments in the investment structure suggested by AZ prompted a decrease in the proposed grant, noting that the deal did not show sufficient value for the taxpayer.

More Insights: Both PM and Reeves Embrace the Battle for Growth, a Battle They Must Win. Reeves Supports Expansion with Third Runway at Heathrow.

AstraZeneca has become the second global company to attribute its decision to pull back on investments to the policies of the new administration.

Two months prior, Stellantis, the company that owns Vauxhall, announced plans to shut down its Luton van factory and relocate production to Ellesmere Port, citing net zero goals as the reason.

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In this instance, officials argued reasonably that using government aid to extend the operation of a nonviable enterprise was illogical.

There could be compelling reasons to reject AstraZeneca's requests, yet these might be difficult to maintain considering the industry – the rapidly expanding life sciences; the corporation – the UK's biggest in terms of market capitalization; and the economic environment – cautious and possibly influential.

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Sir Keir Starmer urges Mauritius to agree on Chagos Islands arrangement to safeguard UK-US defense installation

The discussions, which took place on Friday afternoon, were the inaugural direct conversation between Sir Keir Starmer and Navin Ramgoolam.

Friday, January 31, 2025, at 9

The Prime Minister has urged Mauritius to ensure that any agreement over the Chagos Islands includes robust safeguards for the UK-US military base located there.

Downing Street announced that Sir Keir Starmer had a conversation with his counterpart from Mauritius on Friday afternoon.

In their discussion, the leader of the Labour Party expressed to Navin Ramgoolam his desire for "robust safeguards" for the UK-US military facility on Diego Garcia amid ongoing negotiations regarding its transfer to Mauritius.

This was the initial direct conversation between the two leaders since each assumed office.

Following his assumption of office, Mr. Ramgoolam initiated an independent examination of the tentative agreement his predecessor had established with the UK.

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In a summary provided by a representative from Downing Street, it was stated: "This afternoon, the Prime Minister had a conversation with Navin Ramgoolam, the Prime Minister of Mauritius.

The officials started by reviewing their initial period in office and talked about the solid ties between the UK and Mauritius, expressing enthusiasm for enhancing this connection. The prime minister emphasized the importance of reaching an agreement to maintain the military installation on Diego Garcia with robust safeguards against harmful interference, ensuring its ongoing operation. Both leaders reaffirmed their dedication to achieving this agreement and expressed eagerness to converse again in the near future.

Starting in 2022, during the tenure of the Conservative government, the United Kingdom initiated discussions with Mauritius to transfer sovereignty of the Chagos Archipelago.

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The current administration has persisted in negotiations to maintain authority over the military installation.

The UK intends to rent the key military base for a 99-year period, with the lease reportedly costing about £90 million per year.

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Nigel Farage Draws Parallels Between Reform UK's Poll Numbers and Trump's Electoral Win

At a Reform UK gathering in North West Essex, the constituency of Kemi Badenoch, Nigel Farage aimed his efforts at her political group.

Friday, January 31, 2025, at 10

Nigel Farage has likened the surge in poll numbers for Reform UK to Donald Trump's latest win in the US elections.

During a gathering in the district represented by Conservative leader Kemi Badenoch, four out of the five Members of Parliament from the Reform Party delivered speeches.

At the North West Essex rally, Mr. Farage informed Reform Party members that the Conservative Party "ought to be terrified of you."

Recent surveys indicate that the party has caught up to, and may have even surpassed, the Tories.

According to a Techne UK survey, Reform UK ranked second with 24%, narrowly surpassing the Conservatives at 23%, and trailing behind Labour, who led with 26%.

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Mr. Farage remarked, "It seems we're witnessing a trend that's making its way from America's east coast, where Donald Trump, whose policies closely resemble those we presented to the British public in our contract last July, has achieved a remarkable victory and made a phenomenal beginning."

Even individuals who aren't fans of him acknowledge that he's effective in accomplishing tasks.

"Observers view us and comment, 'like Trump, this group will accomplish tasks,' and trust me, we indeed will."

"This won't merely be a tremor in the landscape of British politics. It will represent the most significant political transformation in the nation's history."

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Before addressing the numerous assertions made by Mr. Farage, Ms. Badenoch referred to Reform UK as merely a "protest party."

She informed journalists that she was unfazed by its existence near her political sphere, emphasizing that discussing Labour's agricultural policies was "significantly more crucial than holding a rally focused on me."

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While touring a farm in Cheshire, Ms. Badenoch remarked that it was "expected" for Reform UK to advance in the polls as a "protest party."

The disagreement followed a spat between the Conservative leader and Mr. Farage regarding the number of party members during the holiday season.

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Sky News reports that, despite being prohibited from drilling, Shell plans to set up the Jackdaw gas platform in the North Sea. This follows a court ruling that the prior Conservative administration had illegally authorized drilling at Shell's Jackdaw and Rosebank sites.

Scotland correspondent @ConnorGillies

Saturday, February 1, 2025, 2:

According to Sky News, energy corporation Shell plans to set up a costly gas platform in the North Sea this spring, even though they are currently prohibited from drilling.

The Jackdaw gas field, reportedly capable of supplying energy to over a million homes in the UK, must secure new authorization from Downing Street following a decision from a Scottish court earlier this week.

A court in Edinburgh ruled that the former Conservative administration breached the law by approving Shell's development of Jackdaw and Rosebank, the largest undeveloped oilfield in the UK, estimated to hold about 350 million barrels of oil.

The duo might still move forward. However, the court indicated that the initial evaluations did not consider the environmental effects of burning the oil and gas, focusing only on the extraction process.

Drilling is currently prohibited until further authorizations are issued.

Shell has expressed its approval of the decision and is moving forward with the final phases of constructing its platform in Norway.

The firm has yet to announce its future plans, but it is expected that the facility will be transported by barge into UK waters soon.

A representative from Shell stated: "The decision appropriately permits the continuation of this critical national energy initiative as we pursue additional approvals." Since receiving approval from the authorities for the Jackdaw project in 2022, we have invested over £800 million.

"Immediate measures from the government are essential for us and other North Sea stakeholders to make crucial decisions regarding key UK energy infrastructure."

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Rosebank is managed by Equinor and Ithaca Energy.

The administration led by Sir Keir Starmer has announced plans to quickly review approvals.

The situation could lead to a political dilemma for the prime minister, who promised not to grant new oil and gas permits during the campaign for the general election.

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Downing Street is actively promoting efforts to boost the UK's economic growth, and the major oil companies, having invested heavily in these initiatives, are counting on the political repercussions of denying these licenses being too severe for Labour to handle.

Labour may still be able to approve these projects without breaking its campaign pledge, since the projects already hold the necessary licenses and only require the final nod from the government.

The judicial decision is perceived as a triumph by environmental activists.

Discussing the choices confronting the prime minister, Tessa Khan, the executive director of the advocacy organization Uplift, stated: "The government should dismiss it.

"Acting differently would jeopardize its comprehensive plans for sustainable development by indicating to investors that the UK is not committed to moving away from costly oil and gas."

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Wine enthusiasts face increased prices due to a tax rise on bottled beverages – however, there is a silver lining for pub-goers.

There's a bit of good news for those who enjoy a drink at the pub, as the tax on draught offerings has been reduced by 1.7%, which translates to a one-penny saving per pint.

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Starting this Saturday, shoppers can expect to pay more for alcoholic beverages due to an increase in taxes and duties.

The tax on alcohol will increase by 3.6% to match the Retail Price Index, while simultaneously, a new method for taxing wines and spirits according to their alcohol content will be implemented.

This indicates that the tax on a bottle of gin will increase by 32 pence, and for wine with an alcohol content of 14.5%, the tax will go up by 54 pence.

As of August 1, 2023, new regulations adjusting excise duty and implementing a tax based on the alcohol content of wine were enacted. However, the Conservative government has implemented a temporary measure that applies a uniform tax rate of 12.5% to wines with an alcohol content ranging from 11.5% to 14.5%.

The Wine and Spirit Trade Association (WSTA) has determined that the price of a bottle of red wine with an alcohol content of 14.5% would have increased by 98p over a period of 18 months, factoring in the latest duty increases that were implemented in August 2023.

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The text also highlighted that starting in April, recycling fees for waste packaging will incur additional expenses, with wine bottles costing an extra 12p and spirit bottles 18p.

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Miles Beale, CEO of the WSTA, commented: "The UK's severe alcohol taxation system leaves no victors.

"Increased tax rates lead to decreased purchases, thereby lowering revenue for the government; this puts pressure on businesses and forces consumers to face higher prices."

In a bit of good news for pub-goers, the tax on draught beverages served in bars, such as beer pints, will decrease by 1.7%, effectively reducing the cost by one penny per pint.

James Murray, the Exchequer Secretary to the Treasury, remarked: "Our pubs and brewers form a vital component of the UK's fabric and our vibrant high streets.

"By implementing draft relief, providing support for small-scale producers, and widening market opportunities for lesser-known breweries, we aim to stimulate growth in the industry and enact our Strategy for Transformation, which is designed to increase the financial capacity of the working population."

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Richard Naisby, the head of the Society of Independent Brewers and Associates, commented, "With the government boosting funding for draught relief, draught beer available in community pubs now benefits from a reduced alcohol duty compared to beer available in supermarkets, which should motivate more individuals to patronize their local pubs."

"Additionally, by enhancing small producer relief, the government has the opportunity to assist small breweries in competing and expanding their enterprises."

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