Several economists recently issued warnings: if the Trump administration quickly implements the latest tariff plan, the risk of a UK recession will sharply increase. The calculations from Capital Economics show that based on the existing 10% import tax in the UK, if new tariffs are rapidly put into effect, GDP could face a decline of 0.3% to 0.75%. In a more extreme scenario, if the US raises tariffs from June to 25%, the UK economy could be directly hit by 21.6 billion pounds.
Does this number sound scary? Paul Dales, Chief UK Economist at Capital Economics, pointed out the key issue: the current quarterly growth rate of the UK economy is only 0.2% to 0.3%, which is quite fragile. Once external shocks are fully unleashed, a recession is highly likely. In other words, the UK economy has little room for buffer.
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ThreeHornBlasts
· 8h ago
£21.6 billion gone overnight? The UK's economy really can't handle this. With only a 0.2% growth rate, they still dare to say there's no recession?
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HodlAndChill
· 8h ago
The UK is about to get hit again. This wave of tariffs is really unbearable... With a growth rate of 0.2%, a recession is not far off.
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GamefiGreenie
· 8h ago
The current situation in the UK feels like those leveraged positions in the crypto market—any small breeze can cause a爆.
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£21.6 billion? If converted to crypto, how much could that do, haha.
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Quarterly growth of only 0.2%? That growth rate can't even match the volatility of our crypto market.
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Tariffs and recession—this combo punch is really tough on the UK.
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Losing the buffer space means the tolerance for errors is close to zero, which is a bit scary.
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Whenever US tariffs go up, Europe gets affected too—this logic has been worn out for ages.
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A 0.75% downward pressure may not sound like much, but for such a fragile economy, it could be fatal.
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Trump is stirring up trouble again, truly incredible.
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The UK is locked down by economic data—it's really tough.
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The key is, this is just a warning; the actual situation could be worse than expected.
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GasFeeCrier
· 8h ago
It's Trump again and tariffs again, the British people are really going to be driven crazy haha
The UK economy has been虚得不行 for a long time, and now it's even more doomed
0.2 to 0.3 quarterly growth? It's even less than the stablecoins in my wallet
£21.6 billion directly lost, this is more brutal than some rug pulls in certain coins
No buffer space... sounds like a signal before the next crash
Britain should just wash and sleep, Americans' words are all hurt
Tariffs are like playing dominoes, Britain is now the most fragile piece
Only now issuing a warning? Why not shout earlier? It's too late now no matter what is said
Can Web3 survive in the bunker? Starting to worry
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MeaninglessGwei
· 8h ago
The UK is really struggling now. With a 0.2% growth rate, they still dare to call themselves a developed country, so fragile that a gust of wind can knock them over.
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LiquidityLarry
· 8h ago
The UK economy is about to crash... 0.2-0.3% growth? If tariffs increase again, it's completely game over.
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GraphGuru
· 9h ago
This wave in the UK is about to get cut, with a growth rate of only 0.2%-0.3%, which isn't really profitable. Trump's tariffs directly pushed it down... there's really no resistance.
Several economists recently issued warnings: if the Trump administration quickly implements the latest tariff plan, the risk of a UK recession will sharply increase. The calculations from Capital Economics show that based on the existing 10% import tax in the UK, if new tariffs are rapidly put into effect, GDP could face a decline of 0.3% to 0.75%. In a more extreme scenario, if the US raises tariffs from June to 25%, the UK economy could be directly hit by 21.6 billion pounds.
Does this number sound scary? Paul Dales, Chief UK Economist at Capital Economics, pointed out the key issue: the current quarterly growth rate of the UK economy is only 0.2% to 0.3%, which is quite fragile. Once external shocks are fully unleashed, a recession is highly likely. In other words, the UK economy has little room for buffer.