Tim Wallace

London

Deputy Economics Editor at The Telegraph

Deputy economics editor at the Telegraph. Prize-winning economic forecaster!

Articles

Rayner's workers' rights crush confidence to record low

3 days ago | telegraph.co.uk | Tim Wallace

Angela Rayner's plan to overhaul workers' rights has crushed business confidence to a record low, as bosses prepare to slash jobs and curb hiring. Optimism among employers has fallen to levels not seen outside of the pandemic, according to a new survey, with just 25pc of bosses claiming they expect to increase headcount over the next three months. This is the lowest level since late 2020, when Britain was still in the depths of Covid.
Trump prepares to lower tariffs on China

5 days ago | sg.finance.yahoo.com | Tim Wallace

Donald Trump said Beijing should open its market to the United States and that 80pc tariffs on Chinese goods “seems right”. The levies are currently at 145pc. “The number sounds like a difference, but if there’s still a tariff of 80pc, most people are not going to buy stuff,” said Michael Matousek, head trader at US Global Investors.
Trump prepares to lower tariffs on China

5 days ago | yahoo.com | Tim Wallace

Donald Trump has signalled he could be open to a climbdown in his trade war on China, as he said an 80pc tariff on goods from the country “seems right”. The seeming about-turn on his most severe policies, which included tariffs of as much as 145pc, comes ahead of meetings this weekend in Switzerland between Scott Bessent, Mr Trump’s Treasury Secretary, and Chinese leaders.
Germany urged to cut public holidays to boost war effort

5 days ago | yahoo.com | Tim Wallace

Germans should sacrifice an annual public holiday to fund the nation’s rearmament, a top economic institute has proposed. Europe’s largest economy faces a crippling shortage of workers, which is undermining its effort to rebuild its military and embark on a construction programme to revitalise national infrastructure. Fixing the problem, according to the Ifo Institute, a think tank, must involve working harder, including taking less time off.
Germany urged to cut public holidays to boost war effort

5 days ago | telegraph.co.uk | Tim Wallace

Emmanuel Macron, the French president, has proposed a new school calendar without the traditional long eight-week summer break. In Germany, almost one third of industries say they are suffering from a shortage of skilled workers, underlining the need for more labour. Rearmament also threatens to make the shortages worse as more Germans will work for the armed forces instead of in civilian industries.
Rachel Reeves brings the era of big pay rises to an end

6 days ago | telegraph.co.uk | Tim Wallace

"In the autumn when we were talking about this, there were lots of discussions that this was going to be inflationary," he says. "There still will be some element of pass through that margin, but what our agents are telling us is that, actually, it will be pushing down on wages relative to what they would have been."That is if you have a job at all. The Bank notes that "firms have cited April's increase in employer NICs as a reason for weakness in employment growth".
Trump to cut tariffs on Range Rovers in deal with Starmer

6 days ago | telegraph.co.uk | Szu Ping Chan |Tim Wallace

The US will slash tariffs on Range Rovers and other UK-made cars to 10pc as part of Donald Trump's trade deal with the UK, The Telegraph understands. The reduction will form part of a 12-month "temporary arrangement" ahead of striking what Britain and the US hopes will be a comprehensive trade deal in the coming months. In return, the UK and US will slash tariffs on beef imports and exports close to zero, although Britain will not allow hormone-treated beef into the UK as part of the deal.
Reeves tax raid to blow £57bn black hole in Britain's finances

1 week ago | telegraph.co.uk | Tim Wallace

It comes a week after bruising local elections in which Labour lost almost 200 councillors, and suffered defeat in the Runcorn & Helsby parliamentary by-election to Reform. The results have led to a backlash among Labour MPs, with mounting pressure for a change of tack on key policies including last year's decision to end universal winter fuel payments to pensioners. Niesr said the Bank of England will only be able to offer limited cuts to interest rates to support the economy.
Trump's fresh tariff onslaught threatens to hit Britain where it hurts

1 week ago | telegraph.co.uk | Tim Wallace

Alternatively, visas could be made more expensive for business travellers visiting the US to work, for example, as a consultant for an American business. It would be possible to impose stricter conditions on foreign businesses setting up operations in the US - though that would not match Trump's goal to drag more businesses and jobs into America. Yet the Trump administration is far from the first to consider limits on services trade.
BoE chief to cast verdict on Trump's trade war with interest rate decision

1 week ago | telegraph.co.uk | Tim Wallace

On the other hand, there is the prospect of a wave of cheap goods from China being diverted from the US and flooding into Britain, potentially dragging down inflation further. But there are limits: cars made for the American market will have steering wheels on the wrong side, for instance. And all of this assumes tariffs come into force as proposed after the current 90-day relief period ends, rather than being scrapped or negotiated away.