Editorial & Advertiser disclosure

Global Banking & Finance Review® is an online platform offering news, analysis, and opinion on the latest trends, developments, and innovations in the banking and finance industry worldwide. The platform covers a diverse range of topics, including banking, insurance, investment, wealth management, fintech, and regulatory issues. The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.

Home > Finance > UK's Starmer sees no immediate need to loosen fiscal rules after Trump tariff shock

UK's Starmer sees no immediate need to loosen fiscal rules after Trump tariff shock

Published by Global Banking & Finance Review®

Posted on April 7, 2025

1 min read

Last updated: January 24, 2026

UK's Starmer sees no immediate need to loosen fiscal rules after Trump tariff shock - Finance news and analysis from Global Banking & Finance Review

Quick Summary

UK PM Keir Starmer insists on maintaining fiscal rules despite Trump's tariff shock, aiming for a balanced budget by 2029/30.

UK's Starmer Stands Firm on Fiscal Rules After Tariff Shock

LONDON (Reuters) - British Prime Minister Keir Starmer said on Monday that his government's first reaction to higher tariffs imposed by U.S. President Donald Trump should not be to relax public borrowing rules.

Finance minister Rachel Reeves' fiscal rules - which aim to achieve a balanced current budget by 2029/30 - allow her to suspend them in case of an economic shock. A reporter asked Starmer if he could guarantee this would not happen.

In reply, Starmer said: "The reaction to the challenges of the last few days is not for us to say the first thing we will now do is to put on one side our fiscal rules. It is to remind people why we put them in place in the first place.

"There is enough uncertainty and insecurity as it is," he added.

Starmer was speaking alongside Reeves at a press conference at a Jaguar Land Rover car factory.

(Reporting by David Milliken; Editing by Sachin Ravikumar)

Key Takeaways

•UK PM Keir Starmer sees no need to relax fiscal rules.
•Trump's tariffs prompt UK to maintain current borrowing policies.
•Rachel Reeves' fiscal rules aim for a balanced budget by 2029/30.
•Starmer emphasizes stability amid economic uncertainty.
•Press conference held at Jaguar Land Rover factory.

Frequently Asked Questions about UK's Starmer sees no immediate need to loosen fiscal rules after Trump tariff shock

1What is the main topic?

The article discusses UK PM Keir Starmer's stance on maintaining fiscal rules despite economic challenges posed by Trump's tariffs.

2What are Rachel Reeves' fiscal rules?

Rachel Reeves' fiscal rules aim to achieve a balanced current budget by 2029/30 and can be suspended in case of an economic shock.

3How did Starmer respond to the tariff shock?

Starmer emphasized the importance of maintaining fiscal rules and not reacting by relaxing borrowing policies.

UK's Starmer Stands Firm on Fiscal Rules After Tariff Shock

"There is enough uncertainty and insecurity as it is," he added.

Starmer was speaking alongside Reeves at a press conference at a Jaguar Land Rover car factory.

(Reporting by David Milliken; Editing by Sachin Ravikumar)

Key Takeaways

•UK PM Keir Starmer sees no need to relax fiscal rules.

•Trump's tariffs prompt UK to maintain current borrowing policies.

•Rachel Reeves' fiscal rules aim for a balanced budget by 2029/30.

•Starmer emphasizes stability amid economic uncertainty.

•Press conference held at Jaguar Land Rover factory.

Frequently Asked Questions

1What is the main topic?

The article discusses UK PM Keir Starmer's stance on maintaining fiscal rules despite economic challenges posed by Trump's tariffs.

2What are Rachel Reeves' fiscal rules?

Rachel Reeves' fiscal rules aim to achieve a balanced current budget by 2029/30 and can be suspended in case of an economic shock.

3How did Starmer respond to the tariff shock?

Starmer emphasized the importance of maintaining fiscal rules and not reacting by relaxing borrowing policies.