Starmer, Trump talk trade deal progress in 'productive' discussion
Since leaving the European Union, the UK has been working to secure a trade agreement with the United States. Successive British governments have pursued a deal, but it has remained elusive.
Trump has suggested the possibility of a 'great' trade deal that could help the UK mitigate the impact of tariffs he has pledged to introduce. (Photo: Getty Images)
Vivek Mishra works as an Assistant Editor with Eastern Eye and has over 13 years of experience in journalism. His areas of interest include politics, international affairs, current events, and sports. With a background in newsroom operations and editorial planning, he has reported and edited stories on major national and global developments.
KEIR STARMER and Donald Trump spoke on Sunday about ongoing UK-US trade negotiations, with Downing Street describing the talks as "productive."
Since leaving the European Union, the UK has been working to secure a trade agreement with the United States. Successive British governments have pursued a deal, but it has remained elusive.
"They discussed the productive negotiations between their respective teams on a UK-US economic prosperity deal, agreeing that these will continue at pace this week," a statement from Downing Street said.
"They agreed to stay in touch in the coming days."
Trump has suggested the possibility of a "great" trade deal that could help the UK mitigate the impact of tariffs he has pledged to introduce.
Unlike the European Union, Britain has not responded with retaliatory measures against tariffs already imposed on its steel industry.
The previous Conservative government did not secure a deal, but Starmer, who visited Washington in late February, expressed optimism about reaching an agreement.
The UK is aiming to finalise a trade deal ahead of Trump's planned "Liberation Day" on 2 April, when he is expected to announce a series of tariffs affecting different trading partners.
In his Independence Day address, Modi said the goods and services tax (GST) would be reformed and rates lowered by Diwali, which falls in October. (Photo: Getty Images)
INDIA’s government will reduce consumption tax rates by October, a top official said on Friday, hours after prime minister Narendra Modi announced reforms to support the economy amid trade tensions with the United States.
The federal government is planning a two-rate structure of 5 per cent and 18 per cent, removing the existing 12 per cent and 28 per cent slabs, the official told Reuters, requesting anonymity as the plans are still under discussion.
According to the official, 99 per cent of items currently taxed at 12 per cent, including butter, fruit juices, and dry fruits, will be shifted to 5 per cent. The move could affect companies such as Nestle, Hindustan Unilever, and Procter & Gamble.
The announcement follows rising trade tensions between New Delhi and Washington over US tariffs on Indian goods. Modi on Friday urged people to promote domestic products, with some of his supporters calling for a boycott of American goods.
In his Independence Day address, Modi said the goods and services tax (GST) would be reformed and rates lowered by Diwali, which falls in October.
"This Diwali, I am going to make it a double Diwali for you. Over the past eight years, we have undertaken a major reform in goods and services tax. We are bringing next-generation GST reforms that will reduce the tax burden across the country," Modi said.
The final decision will be taken by the GST Council, chaired by the finance minister and comprising state finance ministers, the official said. The council is expected to meet by October.
Brokerage Citi estimates that about 20 per cent of items, including packaged food, beverages, apparel and hotel accommodation, are in the 12 per cent slab. These account for 5-10 per cent of consumption and 5-6 per cent of GST revenue.
If most of these are moved to the 5 per cent slab and some to 18 per cent, the government could see a revenue loss of about 500 billion rupees, or 0.15 per cent of GDP, Citi said. This could take the total policy stimulus for households in the 2025-26 financial year to 0.6-0.7 per cent of GDP, it added.
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CEO of Morrisons Rami Baitiéh (centre) takes on the Heera Foods Gol Gappay challenge
Morrisons chief executive Rami Baitiéh took part in a lively “Gol Gappay Challenge” at the supermarket’s Bradford headquarters on Tuesday, as part of celebrations for South Asian Heritage Month.
The event, hosted in the company’s central atrium, was led by Bradford-based Heera Foods, which served up its popular Gol Gappay – crispy puris filled with spiced chickpeas and tangy water – to staff and visitors.
The highlight was a 60-second eating contest where colleagues competed to finish as many Gol Gappay as possible before the clock ran down. To cheers from the crowd, Baitiéh joined in and managed four in a minute.
“It was fantastic to see the CEO of one of the UK’s biggest supermarkets join in with such enthusiasm,” said Noor Ali, senior commercial manager at Heera Foods. “Gol Gappay, also known as pani puri, are all about fun, flavour and bringing people together, and Rami certainly embraced that spirit.”
The open day formed part of Morrisons’ program of events showcasing South Asian food and culture. For Heera Foods, one of Bradford’s longest-standing South Asian brands, it was an opportunity to highlight a snack loved across the subcontinent.
Heera Foods, part of P&B Foods Ltd, has been based in Bradford since the 1960s and produces a wide range of South Asian staples and ready-to-eat products from its UK facility.
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When Mounjaro was launched in Britain, Lilly set a list price 'significantly below' that in its other three European markets to avoid delays in NHS availability. (Photo: Reuters)
ELI LILLY said on Thursday it will increase the UK list price of its weight-loss drug Mounjaro by up to 170 per cent. The price change comes as the White House urges drugmakers to raise prices in Europe to enable price cuts in the United States.
The new price, which also applies to Lilly's type 2 diabetes medicine sold under the same name, will take effect in September. A month's supply of the highest dose will rise from £122 to £330, the company said.
The increase will apply to those paying for Mounjaro privately but will not affect patients receiving it through the National Health Service (NHS), which has a separate pricing agreement, a Lilly spokesperson said.
When Mounjaro was launched in Britain, Lilly set a list price “significantly below” that in its other three European markets to avoid delays in NHS availability. “We are now aligning the list price more consistently,” the company said.
The change comes as drugmakers adjust to policy shifts in the United States, their largest market, where president Donald Trump is seeking lower domestic drug prices while encouraging increases overseas.
Last week, Lilly CEO David Ricks told investors that price parity between the US and Europe was desirable over time, but said European governments “are not signing up to pay more for drugs.”
The US pays more for prescription drugs than any other country, often nearly three times more than other developed nations. Trump says he wants to narrow this gap to prevent Americans from being “ripped off.”
Reuters reported last week that the Trump administration has been in talks with drugmakers about ways to equalise prices across markets.
A list price is the amount set by a drug manufacturer before any discounts or rebates.
Lilly said it is working with private UK healthcare providers, including online pharmacies, which can set their own prices, to maintain access to the medicines.
Lilly launched Mounjaro in the UK in February 2023, while rival Novo Nordisk’s Wegovy became available in the country in September 2023.
(With inputs from Reuters)
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The Canary Wharf business district including global financial institutions in London. (Photo: Getty Images)
UK's economy grew more than expected in the second quarter, though at a slower pace than the first three months of 2025, as US tariffs and a higher UK business tax weighed on activity, official data showed on Thursday.
Gross domestic product rose 0.3 per cent in April-June, the Office for National Statistics (ONS) said, above analyst forecasts of 0.1 per cent growth. This followed a 0.7 per cent rise in the first quarter.
“Today’s economic figures are positive with a strong start to the year and continued growth in the second quarter,” said finance minister Rachel Reeves.
“But there is more to do to deliver an economy that works for working people,” she added, after a challenging first year in power for the Labour government.
The ONS said growth in construction and services in the second quarter helped offset a fall in production.
“Growth was led by services, with computer programming, health and vehicle leasing growing,” said Liz McKeown, ONS director of economic statistics.
Data released on Wednesday showed UK unemployment at a four-year high of 4.7 per cent in the second quarter.
The slowdown comes after the government raised the UK business tax from April, when US President Donald Trump’s 10 per cent baseline tariff on most goods also took effect.
Citing risks from US tariffs, the Bank of England last week cut its key interest rate by a quarter point to 4 per cent.
“The weak global economy will remain a drag on UK GDP growth for a while yet,” said Ruth Gregory, deputy chief UK economist at Capital Economics.
“The full drag on business investment from April’s tax rises has yet to be felt. And the ongoing speculation about further tax rises in the (UK) autumn budget will probably keep consumers in a cautious mood,” she added.