Fresh figures show the US economy is firing on all cylinders while Britain flounders. The latest data from Washington shows US GDP jumped by 0.7% in the second quarter, or 3% a year if that monthly pace continues across the year.
Either way, that’s a stellar number. It smashes forecasts and puts the UK’s sorry performance in the shade.
In contrast, our economy shrank by 0.3% in April and 0.1% in May. All signs suggest a second-quarter contraction.
Europe isn’t doing much better.
The US did have a shaky start to the year, with GDP falling by 0.5% in Q1. But that drop was mostly down to companies rushing to import goods into the US before Trump’s tariffs kicked in, hitting the balance of trade.
Now, growth is bouncing back. In the UK, it’s the opposite. Rachel Reeves’s punishing tax hikes are hammering growth just as we need it most.
What a contrast.
Plenty of experts said Donald Trump’s tariffs would crash the US economy and trigger global recession. But the opposite seems to be happening.
America’s trade deficit is shrinking, foreign companies are scrambling to set up operations in the US, and growth is back with a bang.
Trump’s approach may be crude, but it’s delivering.
He’s also forcing countries like Indonesia and Vietnam to the table, striking new trade deals that show supposedly tough EU negotiators to be paper tigers and leave China out in the cold.
While Trump pursues results, Reeves and Keir Starmer appear more focused on slogans and virtue-signalling.
Instead of encouraging businesses to grow they are burying them under an ever rising tide of harsh taxes.
Trump’s headline-grabbing style draws critics, but behind the noise there’s a flurry of activity. He’s made his 2017 tax cuts permanent and scrapped taxes on tips, overtime and Social Security.
He’s poured money into defence, hitting recruitment goals ahead of schedule. His Supreme Court wins have given the White House more policy power. And he’s tackling illegal immigration with brute force – illegal crossings are now at record lows while the small boats keep bobbing across the English Channel.
Trump boasts of helping to end conflicts in Iran-Israel, India-Pakistan and Congo-Rwanda, and forcing NATO allies to hike defence spending. He’s arming Ukraine with European money, not US taxpayer cash.
It may not suit us – but it suits him. And the US taxpayer.
Whatever you think of Trump, this is a glaring contrast to Starmer and Reeves. Public confidence in Labour is crumbling.
When Trump landed in Scotland, he told Starmer to cut taxes, stop the boats, and drill for oil and gas. Basic stuff. But it’s working. The Tories failed to deliver. Now Labour is doubling down on decline.
The hard truth is this: Trump is doing what he promised and it’s paying off.
Reeves and Starmer are doing the opposite and the UK is sinking. We’ve got four more years of this. And the gap is only growing.