Risk to growth plans as firms fear hit from tariffs

THREE-QUARTERS of UK manufacturing and logistics firms are bracing for a hit from US tariffs, with many putting the brakes on investment plans in a blow to the Government's growth ambitions, new data reveals.

- ANNA WISE [e-mail]

Larger businesses are more likely to be expecting a squeeze from new global trade policy, according to a survey carried out by HSBC UK.

US President Donald Trump unveiled plans earlier this month to hike tariffs and introduce new levies on all goods being imported.

This included a baseline 10% tariff for most countries, including the UK, while specific goods including cars, steel, and aluminium now face a 25% import tax.

HSBC's survey of 2,000 business leaders showed that 73% of UK manufacturers, and 75% of transportation and distribution firms said tariffs would have an impact on their business. This rose to 22% and 26%, respectively, who warned they were expecting a "considerable" impact.