Al Mayadeen English

  • Ar
  • Es
  • x
Al Mayadeen English

Slogan

  • News
    • Politics
    • Economy
    • Sports
    • Arts&Culture
    • Health
    • Miscellaneous
    • Technology
    • Environment
  • Articles
    • Opinion
    • Analysis
    • Blog
    • Features
  • Videos
    • NewsFeed
    • Video Features
    • Explainers
    • TV
    • Digital Series
  • Infographs
  • In Pictures
  • • LIVE
News
  • Politics
  • Economy
  • Sports
  • Arts&Culture
  • Health
  • Miscellaneous
  • Technology
  • Environment
Articles
  • Opinion
  • Analysis
  • Blog
  • Features
Videos
  • NewsFeed
  • Video Features
  • Explainers
  • TV
  • Digital Series
Infographs
In Pictures
  • Africa
  • Asia
  • Asia-Pacific
  • Europe
  • Latin America
  • MENA
  • Palestine
  • US & Canada
BREAKING
Sayyed Ali Khamenei: The model Trump is presenting to Arab countries is absolutely a failed one
The leader of the Islamic Revolution and the Islamic Republic of Iran Sayyed Ali Khamenei: Trump's remarks source of shame, embarrassment for him, Americans
Al-Zaidi to Al Mayadeen: There is a pressing need to restructure the regional landscape, a challenge facing the Baghdad Summit, and we hope it will succeed in doing so
Al-Zaidi to Al Mayadeen: Among the urgent issues on the summit’s agenda are ending the war in Palestine and addressing the complex situation in Syria
Al-Zaidi to Al Mayadeen: We hope the summit will yield reasoned solutions that serve the interests of regional stability
Al-Zaidi to Al Mayadeen: We hope that the summit will be an opportunity to achieve the long-awaited breakthrough in all regional issues
Iraqi presidential spokesperson Abdullah al-Zaidi to Al Mayadeen: The significance of the summit stems from the critical timing under which it is being convened
Yemeni Ministry of Health: The Zionist aggression on the ports of Hodeidah and Salif in western Yemen has killed one and injured 11
Yemenia Airways flights to and from Sanaa International Airport resumed, following the return of 134 passengers from Queen Alia Airport in Jordan
Russia's Putin invites league of Arab states, secretary general to take part in 1st Russian-Arab summit in October: Kremlin

Starmer's government accused of 'surrender' to Trump amid US tax cuts

  • By Al Mayadeen English
  • Source: News websites
  • 24 Mar 2025 13:09
4 Min Read

The Labour government has been warned against appeasing Trump and Musk through potential US tech tax cuts while cutting disability benefits.

Listen
  • x
  • Starmer's government accused of 'surrender' to Trump amid US tax cuts
    Britain's Prime Minister Keir Starmer, left, and US President Donald Trump shake hands at a joint press conference in the East Room at the White House Thursday, February 27, 2025, in Washington. (AP)

Labour leader Keir Starmer is facing criticism over potential plans to reduce the UK’s digital services tax on US tech giants while implementing welfare and public sector cuts, raising concerns about appeasing US President Donald Trump, The Guardian reported.

Chancellor Rachel Reeves confirmed ongoing discussions about the £1bn-a-year tax affecting companies like Meta and Amazon, though any changes would not be included in this week’s spring statement. She expressed optimism that Trump’s 25% tariffs on British steel could be lifted but did not rule out modifications to the tax. “You’ve got to get the balance right,” she said.

The Liberal Democrats warned that Labour risked “losing its moral compass,” arguing that scrapping the tax while cutting disability benefits would be like “robbing disabled people to appease [Elon] Musk and Trump.”

Labour MPs are also on edge over £5 billion in welfare reductions and Whitehall job cuts, with former shadow cabinet minister Rachael Maskell cautioning against “letting US tech companies off the hook while making disabled people pay for the revenue loss.”

MP Clive Lewis accused the government of an “abject surrender” to Trump’s influence, calling the move “extractive politics at its worst.” Meanwhile, technology committee chair Chi Onwurah warned that delaying artificial intelligence regulations to appease Trump could undermine safety concerns.

Liberal Democrat leader Ed Davey criticized Labour’s approach, stating, “Appeasement never works with bullies, and it doesn’t work with Trump,” suggesting retaliatory tariffs on Tesla, owned by Musk, in response to US steel tariffs.

Related News

Trump signals new US tariffs, warns trading partners of imminent hikes

China slams UK trade deal with US: FT

Labour maintains that no final decision has been made on the digital services tax, with a Treasury spokesperson emphasizing that all taxes remain under review. However, opposition figures warn that prioritizing US tech firms over social welfare and public sector stability risks deepening domestic divisions.

An unrequited relationship

Starmer, in a recent interview with The New York Times, expressed admiration for Trump, saying, “I personally like and respect Donald Trump” and acknowledged his point about Europe’s need to contribute more to its own defense. His remarks have fueled further debate over the UK’s diplomatic stance amid ongoing US-UK trade negotiations.

Meanwhile, Starmer’s proposed “coalition of the willing” to enforce a Ukraine ceasefire has drawn skepticism from Trump’s special envoy, Steve Witkoff, who dismissed it as a “posture and a pose” and controversially praised Russian President Vladimir Putin.

An insider revealed to the Daily Mail that Trump has strong UK connections and favors operating through unconventional channels, which "suits him just fine." They dismissed Starmer as "irrelevant" and suggested that while a meeting might occur eventually, "the optics are more important" to the UK Prime Minister than to Trump.

The report speculated that Trump, when assuming office, might prioritize other world leaders over Starmer for invitations to Washington, following allegations of Labour Party involvement in US election affairs, according to the Daily Mail. 

Sources from the Mail suggest that Starmer will need to “eat humble pie” to secure a meeting with Donald Trump at the White House. In a Saturday report, the newspaper revealed that Trump’s advisors are weighing options to snub Starmer, including blocking the appointment of Labour figure Lord Mandelson as UK ambassador to Washington over his alleged connections to China.

Read more: UK weighs Russian asset seizure as Moscow warns of retaliation

  • US tariffs
  • United States
  • Keir Starmer
  • US
  • UK
  • United Kingdom
  • Taxes
  • Donald Trump

Most Read

Two F-35 jets arrive at it's new operational base Wednesday, Sept. 2, 2015, at Hill Air Force Base, in northern Utah. (AP)

F-35 near-misses over Yemen signal new risks for 'Israel': Forbes

  • Politics
  • 14 May 2025
Palestinians pray over bodies of people killed in the Israeli bombardment who were brought from the Shifa hospital before burying them in a mass grave in the town of Khan Younis, southern Gaza Strip, Wednesday, Nov. 22, 2023. (AP )

Gaza casualty figures mask a much bigger horror, new study shows

  • Politics
  • 11 May 2025
Gaza and the logic of necropolitics: Sovereignty measured by killing

Gaza and the logic of necropolitics: Sovereignty measured by killing

  • Politics
  • 15 May 2025
Abu Obaida

Abu Obeida posts shortly after Israeli reports about his assassination

  • Palestine
  • 15 May 2025

Coverage

All
Gaza prevails against genocide

Read Next

All
Israeli media: Yemen may push 'Israel' towards ceasefire in Gaza
MENA

Israeli media: Yemen may push 'Israel' towards ceasefire in Gaza

Palestinians struggle to get donated food at a community kitchen in Khan Younis, Gaza Strip, Friday, May 16, 2025 (AP)
Politics

Trump administration planning to send 1 million Palestinians to Libya

President Donald Trump greets Israeli Prime Minister Benjamin Netanyahu at the White House, Monday, April 7, 2025, in Washington. (AP)
Politics

'Israel' concerned, says US withholding info about indirect Iran talks

Israeli Prime Minister Benjamin Netanyahu during the annual ceremony at the Yad LaBanim Memorial in occupied al-Quds on Tuesday, April 29, 2025 (AP)
Politics

Netanyahu cancels Vatican visit over fears of ICC arrest

Al Mayadeen English

Al Mayadeen is an Arab Independent Media Satellite Channel.

All Rights Reserved

  • x
  • Privacy Policy
  • About Us
  • Contact Us
  • Authors
Android
iOS