How the US tariffs could impact households in UK

Donald Trump's decision to pause tariff plans has been warmly welcomed by the financial market at home and abroad - but there remain concerns about how they will affect ordinary people.

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Here is a look at how households may find their finances could be affected:

PRICES ON GOODS

Sarah Coles, head of personal finance, Hargreaves Lansdown, said: "The impact on prices isn't nailed on at this stage.

"There are a number of forces that could keep a lid on inflation. Worries about growth around the world mean central banks may keep interest rates as low as possible in order to support whatever growth is around."

Fluctuations in sterling against other currencies will have an impact on prices.

Ms Coles said: "We might also see some of the goods that were destined for the US being diverted elsewhere around the world-including the UK.

"If it means a glut, it could mean there are some decent bargains around. Plus, some companies will want to hold prices lower, in order to compete more effectively against US businesses, so we could benefit from that.

"However, there's still the risk of inflation, because there's the chance that companies increase their prices worldwide to pass the pain of tariffs onto consumers. It means we'll need to wait to see how all this shakes down."

JOBS AND WIDER ECONOMY