This week could be another crucial one in the efforts to end the war in Ukraine. There is also a new UK government commissioner for trade with Europe set to start, as well as refreshed guidance on rules of origin for developing countries exporting to the UK.
Ukraine talks
Today’s meeting of Donald Trump and European leaders – including Ukraine’s Volodymyr Zelenskyy – in Washington DC marks the next stage in efforts to end the war in Ukraine.
Among those in attendance will be UK prime minister Sir Keir Starmer, French president Emmanuel Macron, German chancellor Friedrich Merz and Italian prime minister Georgia Meloni. It follows last week’s meeting between Trump and Russian counterpart Vladimir Putin, which failed to yield an immediate ceasefire agreement.
The war has had a significant impact on trade, with huge sanctions programmes imposed on Russia by Europe and the US. In a hint at what a postwar relationship could look like, Putin brought several high-level economic and business representatives to last week’s US meeting in Alaska.
Trump told reporters on Air Force One that it was “good” that Putin had done so, adding:
“I like that, because they want to do business, but they’re not doing business until we get the war solved.”
New Europe trade commissioner
The week begins with the appointment of a new UK commissioner to Europe for trade, Ceri Morgan.
Morgan, who takes on the new role from 1 September, led the Department for Environment, Food and Rural Affairs’ (Defra) teams on international trade and food security in her most recent role. She also led the global trade negotiations unit at Defra, with a focus on the agri-food components of trade deals.
She said, as part of the government statement announcing her new role, that European markets are “crucial to the success of the newly launched trade, industrial, and small business strategies”.
It follows a departure from the government’s broader trade team over the weekend, when Labour MP for Manchester Rusholme – and trade envoy to Turkey – Afzal Khan resigned after a controversial visit to Turkish-occupied Northern Cyprus. The Cypriot government, which the UK recognises as owner of the territory, called the visit “unacceptable”.
Rules of origin guidance
The government has published updated guidance on rules of origin under the Developing Countries Trading Scheme (DCTS).
The guidance, which can be found here, outlines how the government is “updating the rules of origin under the DCTS to make it easier for developing countries to export to the UK”. The changes addressed will enter force early next year.
Among the changes are a “new regional cumulation group of 50 countries in Africa” and the expansion of regional cumulation groups in Asia. The changes to cumulation will support affected countries “to be competitive by allowing more products to qualify for preferential tariffs”, the government says.
Consumer confidence slips
UK consumer confidence has dropped to its lowest level for two years, according to a Which? survey.
Confidence has dropped “considerably” over the last year, the organisation says, with 56% of consumers expecting a deterioration in the economy and only 17% expecting improvement.
Which? director of policy and advocacy Rocio Concha said confidence had dropped “alarmingly”.
“The government has rightly focused on growing the economy and raising living standards but in doing so, it must not overlook the importance of consumer protections in restoring confidence.
The numbers may give some hint as to the direction of the UK economy, as the Conservative opposition argue that, despite 0.4% growth in last week’s figures, the indicators are “flashing red” on GDP.
Other dates for the diary
Monday: Chinese foreign minister to visit India
Tuesday: German manufacturing index numbers published
Wednesday: China interest rate announcement
Thursday: UK, US and EU PMIs published
Friday: Germany’s Q2 GDP figures posted
Saturday: International Day for the Remembrance of the Slave Trade and its Abolition
Sunday: World Solar Challenge takes place in Australia
