A UK cabinet minister says Donald Trump's war with Iran has made next month's budget harder to deliver, pointing to the conflict's impact on households and businesses. Bridget Phillipson also downplayed Prime Minister Andy Burnham's past criticism of Trump ahead of their first face-to-face meeting at the UN general assembly.
Bridget Phillipson, the Labour chair and minister for women and equalities, says Trump's on-and-off military campaign against Iran has disrupted global oil supplies and fed inflationary pressure, complicating the budget chancellor John Healey is preparing for next month. She made the comments to Sky News as Burnham prepares to meet Trump for the first time next week at the UN general assembly summit in New York.
Inflation pressure weighs on budget planning
Phillipson described the economy as strong overall, pointing to growth figures, but acknowledged the conflict's toll on households and firms through the inflation squeeze on the cost of living. She defended the government's decision to stay out of the Iran conflict and said giving people room to manage rising living costs has been central to Burnham's approach ahead of the budget.
The chancellor is under pressure as inflation rose to 3.1%, a development Burnham had already flagged would force tough choices in the budget. Phillipson said the conflict's impact on businesses and families close to home is real, even as the government's broader growth outlook holds up.
Burnham downplays past Trump criticism
As Greater Manchester mayor, Burnham had said Trump would not be welcome in the city and that UK politicians who indulged him should be ashamed. Asked about the remarks, Phillipson told Sky News, according to The Guardian: "People will express views at different points on different topics."
She argued the UK-US relationship outlasts any single president or prime minister and said differences of opinion do not undermine what she called the British national interest. Burnham himself has previously defended his past comments about Trump, saying politicians commonly make such remarks and that he finds ways to connect with people he meets.
In a later interview with the BBC, Phillipson dismissed criticism from petrochemicals billionaire Jim Ratcliffe, who said this week he had lost confidence in the UK over immigration and taxation levels. She noted Ratcliffe is a tax exile resident in Monaco, saying his comments should be taken with skepticism.
Source: Business | The Guardian
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