UK Economics

1. On 30 October Chancellor Rachel Reeves delivered Labour’s much anticipated budget to the House of Commons, which included £40bn in tax rises. An increase in employer national insurance from 13.8% to 15% on salaries above £9,100 made up the brunt of this increase, raising an additional £25bn per year. 
2. Other measures included increasing capital gains tax, with the lower rate rising from 10 to 18% and the higher rate from 20% to 24%. VAT will be applied to private school fees from January 2025 and higher taxes on tobacco products and alcohol will be brought in. The budget also raised the minimum wage by 6.7% to £12.21 per hour from April.
3. Critics of the budget have claimed that the government’s promise not to raise taxes on ‘working people’ has been broken, with the OBR predicting that 74% of the rise in employer national insurance will eventually be felt by workers through lower wages and fewer jobs. Farmers have also protested against measures which reduce relief on inheriting agricultural property.
4. On 7 November the Bank of England lowered its base rate from 5.00% to 4.75%. The move had been widely expected after inflation fell to 1.7% in the 12 months to September 2024. 

World Economics

1. Upcoming US inflation data on Wednesday may guide the Federal Reserve’s monetary policy updates following a recent rate cut, while President-elect Trump’s trade policies strengthen the dollar, pushing the euro closer to parity and straining European markets.
2. Brazil’s booming online gambling market has sparked addiction, debt, and economic concerns. New regulations set for 2025 will tax operators, limit advertising, and prevent welfare funds from being used for gambling, but enforcement remains a challenge.
3. Poland is facing rising labour shortages due to restrictive immigration policies under Prime Minister Tusk. With an aging workforce and declining population, Polish businesses increasingly rely on foreign workers, but recent visa cuts and tougher rules could worsen the crisis. Key sectors like transport are particularly affected.
4. China has announced a $1.4 trillion (Rmb 10 trillion) fiscal plan to restructure local government debts, but it falls short of boosting household consumption. Analysts warn it may not counteract the impact of potential US tariffs under Mr Trump.

UK Politics

1. On 6 November, Foreign Secretary David Lammy offered President-elect Trump “congratulations” on his election victory over Kamala Harris. Mr Lammy has come under pressure to win over the President-elect, after his previous tweets describing Trump as a “woman-hating, neo-Nazi-sympathising sociopath” resurfaced this week.
2. On 7 November, Labour backbench MP Mike Amesbury was charged with assault after CCTV footage emerged which appeared to show him punching one of his constituents in a late-night altercation in his Runcorn and Helsby constituency.
3. Also on 7 November, Nigel Farage spoke to Reform UK’s Welsh party conference in Newport. He stated that the Welsh Assembly’s 2026 elections will be his core focus, calling them “by far our biggest priority” for the years ahead.
4. Amid growing concerns that the election of Donald Trump will lead the US to cut support for Ukraine, Treasury minister Darren Jones stated on 10 November that the UK government’s commitment to funding Ukraine’s war effort is “resolute” and will continue regardless of US decisions. 

World Politics

1. Former President Donald Trump was elected the 47th president of the United States on 6 November, defeating Vice-President and Democratic nominee Kamala Harris and marking one of the most stunning political comebacks in modern history. Mr Trump, who previously served as president from 2017 to 2021, has become the first convicted criminal to win the White House after cruising to victory in both the electoral college (312-226) and the popular vote. At 78, he will also be the oldest person to be sworn into office. Mr Trump’s Republican Party is on track to win a governing trifecta, having already secured the White House and a majority Senate.
2. German Chancellor Olaf Scholz dismissed Finance Minister Christian Lindner on 6 November. Mr Scholz has also publicly stated that he would call a confidence vote for 15 January, which would enable elections to be held by the end of March 2025.
3. On 10 November, Haitian Prime Minister Garry Conille was fired by the country’s ruling council. Mr Conille, who took office five months ago, was removed through an executive order signed by eight of the council’s nine members.
4. President-elect Trump, as part of his pledge to end the Russia-Ukraine war, spoke separately to Ukrainian President Volodymyr Zelenskyy and Russian President Vladimir Putin during the week. Mr Trump reportedly urged Mr Putin to not escalate the war, while businessman Elon Musk joined Mr Trump on his call with Mr Zelenskyy earlier in the week.  

Written by Edgar Brown, Shreyas Veturi and Keshav Hajarnavis