Margaret Thatcher and Deng Xiaoping were both on a mission when they came to power within months of each other at the tail end of the 1970s. Thatcher wanted to reinvigorate capitalism in Britain, while Deng launched a programme of reform and liberalisation that he called socialism with Chinese characteristics. Since then, the economies of Britain and China have been transformed, but in different ways. China was essentially a peasant economy when Deng took control, but it has since become an industrial powerhouse, while Britain has ceased to be a…
Tag: Economic policy
What agreements have been made during Starmer’s trip to China?
Keir Starmer will be pleased that he has secured several agreements to mark his visit to Beijing and by the warm tone of President Xi Jinping’s remarks about his government. However, No 10’s announcements do not put a figure on the value of the deals, and there does not appear to be a big bundle of investments worth billions by Chinese or British firms, which prime ministers have usually tended to hold up as a sign of success. These are the agreements secured by the UK so far. Visa-free travel…
China reports record trillion-dollar trade surplus despite Trump tariffs
China has reported a strong export run in 2025 with a record trillion-dollar surplus, as its producers brace for three more years of a Trump administration set on slowing the manufacturing powerhouse by shifting US orders to other markets. Beijing’s resilience to renewed tariff tensions since Donald Trump returned to the US presidency last January has emboldened Chinese firms to shift their focus to south-east Asia, Africa and Latin America to offset US duties. With Beijing looking to exports to counteract a prolonged property slump and sluggish domestic demand, the…
China forecast to have sold one in every 10 new cars in UK in 2025
Chinese brands are on course to account for one in every 10 new cars sold in Britain during 2025, a marked increase on last year as sales increase across Europe. Manufacturers led by MG, BYD, and Chery are on track to break the 200,000 mark in UK new car sales in 2025, meaning they are very likely to account for 10% of the market, according to Matthias Schmidt, an analyst tracking electric cars across Europe. Spain and Norway also get a tenth of their new cars from Chinese brands, with…
Albanese’s critical minerals deal isn’t good economics – but in Trump and Xi’s new world, bargaining chips matter
Anthony Albanese has struck a multi-billion dollar deal with Donald Trump to develop critical minerals projects in Australia that will never be commercially viable. When it’s laid out like that, it very much sounds like our prime minister fell victim to the president’s “art of the deal”. But we are in a new world where the national value of our critical minerals extends beyond economics, experts say. “This is a really significant deal, and I’m surprised how good it is,” says Hayley Channer, the director of the economic security program…
Starmer only read China spy witness statements this morning, No 10 says, as Cleverly accuses PM of misquoting him – as it happened
From 17h ago Starmer only read China spy case witness statements this morning, No 10 says Here are the main lines from the NO 10 post-PMQs lobby briefing. The PM’s spokesperson explained why the government was publishing its China spy case witness statements now, when yesterday officials were saying the CPS were opposed to this. The spokesperson said: Prior to last night, the CPS had made clear that witnesses have an expectation that their evidence will not be publicly discussed in those circumstances. The CPS had also advised that to…
Tories would abolish stamp duty, Badenoch tells party conference – UK politics live
From 2h ago Badenoch says next Tory government will abolish stamp duty Badenoch says, because of all the savings she has promised, she can afford one more announcement. As the Conservative party, we know who our people are. They are people who work hard, they are the people who plauy hard, they are the people who understand the importance of putting down roots. They are the people who make sacrifices today for a better life. They are also people who want to own their own home, she says. But there…
Term ‘disabled’ being used too widely, shadow work and pensions secretary says – UK politics live
From 44m ago Helen Whately, shadow work and pensions secretary, suggests term ‘disabled’ being applied too widely if 25% of people qualify Helen Whately, the shadow work and pensions secretary, has suggested the term “disabled” is being over-used if it applies to around a quarter of people. She made the claim in her speech in which she defended the Tory plan to cut benefits – which the party now says could save £23bn a year. (See 8.09am.) She said: We are here because we know we have a really important…
Chairman Trump: has the US turned its back on free-market capitalism?
When Ronald Reagan became the first US president to address China’s Great Hall of the People in 1984, he did not waste an opportunity to school his audience on the benefits of the American way. He boiled down his central economic ideology, and that of his Republican party – that governments should get out of the way, allow companies, industries and markets the space the thrive, without intervention – into a simple mantra: trust the people. “These three words are not only the heart and soul of American history, but…
Ditching European trade for China and India was ever a poor bet. Now it’s a farce | Will Hutton
The world has changed since, post-Brexit, “Global Britain” set itself to “pivot” from sclerotic Europe towards booming Asia. Always a fanciful idea that disregarded Asian realities, it has now become farcical. Neither China nor India are proving the easy pickings on which “buccaneering” Britain could ride to economic success, denied through being tied to the “corpse” of an EU economy allegedly shackled by regulation and tax. Brexiter ambitions are turning to ashes. Instead, there is China, run by an ever more openly dictatorial and militarily ambitious communist government. Its economy is…