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World leaders have arrived in Cornwall for this weekend’s G7 summit, as Boris Johnson looks to strike deals on COVID vaccines, girls’ education and the environment.

In one of the most high-profile moments of his premiership so far, the prime minister will chair meetings of the world’s leading democracies at Carbis Bay.

Follow live updates from the G7 summit in Cornwall

Members of the media take pictures of climate change activists wearing masks representing world leaders during a protest in St. Ives, on the sidelines of G7 summit in Cornwall, Britain, June 11, 2021. REUTERS/Dylan Martinez
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Climate change activists wear masks representing world leaders during a protest in St. Ives, on the sidelines of the G7 summit

Mr Johnson has been joined at the South West resort by US President Joe Biden, Canada’s Justin Trudeau, Japan‘s Yoshihide Suga, Germany’s Angela Merkel, France’s Emmanuel Macron, Italy‘s Mario Draghi, and EU presidents Ursula von der Leyen and Charles Michel.

Although world leaders will enjoy some downtime during their stay – including a beach BBQ and toasted marshmallows over fire pits – their first in-person summit for almost two years will see them focus on the global recovery from the coronavirus pandemic.

As well as hoping to sidestep any fresh turmoil over lingering Brexit disputes, Mr Johnson wants this weekend to see G7 nations commit to providing one billion doses of COVID vaccines to developing countries as part of a bid to vaccinate the entire world by the end of next year.

The UK has committed to providing at least 100 million doses, while Mr Biden has said the US will purchase 500 million doses of the Pfizer jab to donate to poorer countries.

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In an article setting out his agenda for the summit, the prime minister will also set out his ambition for a new global pandemic surveillance network, as well as an effort to accelerate the development of vaccines, treatments and tests for any new virus from 300 to 100 days.

Australia’s Scott Morrison, South Africa’s Cyril Ramaphosa and South Korea‘s Moon Jae-in will join the G7 talks on future pandemic preparedness as summit guests on Saturday, while India’s Narendra Modi will join discussions via video link.

Mr Johnson also wants the weekend to see G7 leaders commit to tackling the “moral outrage” of millions of girls around the world being denied an education.

“Our shared goal must be to get another 40 million girls into school by 2025,” he said.

“I will ask the G7 and our guests to contribute more towards the Global Partnership for Education’s target of raising $5bn (£3.5bn) for schools in the developing world.”

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What is the G7?

One subject on which Mr Johnson will be hoping to avoid headlines during the G7 summit is the continuing row over post-Brexit arrangements for Northern Ireland.

The prime minister is set to hold talks with the EU‘s Ms von der Leyen and Mr Michel on the sidelines of the summit, with the UK and the bloc remaining at a stand-off over the implementation of the Northern Ireland Protocol.

Ahead of the official start of the G7 summit, French President Emmanuel Macron pointedly shared an image of himself, Mrs Merkel, Mr Draghi and the two EU presidents sat at a table together.

“As always, the same union, the same determination to act, the same enthusiasm! The G7 can begin,” Mr Macron posted on Twitter.

On Thursday, Mr Johnson said he and Mr Biden were in “complete harmony” over Northern Ireland, despite earlier reports the US had lodged a formal diplomatic protest with the UK over the dispute.

Ahead of the UK hosting the COP26 climate change summit later this year, environmental issues will also be a large part of discussions over the weekend.

Prince Charles is hosting a reception on Friday for the G7 leaders and CEOs of some of the world’s largest companies to discuss how the private sector can work with governments to tackle the climate emergency.

And Sunday’s final talks will see leaders addressed via a pre-recorded video from Sir David Attenborough.

The prime minister wants G7 nations to promise to halve their carbon emissions by 2030, in order to limit the rise in global temperatures to 1.5 degrees.

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Treasury to dispose of final shares in bailed-out NatWest Group

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Treasury to dispose of final shares in bailed-out NatWest Group

The government is preparing to sell the final publicly owned shares in NatWest Group on Friday, drawing a line under one of the world’s biggest bank bailouts after nearly 17 years.

Sky News understands that the Treasury is preparing to offload its remaining stake – which is down to roughly 0.1% – in the coming hours, with a public statement likely either later on Friday or on Monday morning.

Sources cautioned that the timings were still subject to change.

The final disposal of a stake which at one point represented more than 80% of NatWest’s share capital has been anticipated for weeks.

Last week, Sky News reported that British taxpayers were heading for a loss of just over £10bn on the 2008 rescue of NatWest, then known as Royal Bank of Scotland (RBS), having pumped £45.5bn into the lender to prevent it – and the wider UK financial system – collapsing.

Confirmation of the sale of the Treasury’s final interest in NatWest will come almost 17 years after the then chancellor, Lord Darling, conducted what RBS’s boss at the time, Fred Goodwin, labelled “a drive-by shooting”.

Total proceeds from a government trading plan launched in 2021 to drip-feed NatWest stock into the market have so far reached about £13bn, with the final tally likely to be about £13.2bn.

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In addition, institutional share sales and direct buybacks by NatWest of government-held stock have yielded a further £11.5bn.

Dividend payments to the Treasury during its ownership have totalled £4.9bn, while fees and other payments have generated another £5.6bn.

In aggregate, that means total proceeds from NatWest since 2008 are expected to hit £35.3bn.

Under Rick Haythornthwaite and Paul Thwaite, now the bank’s chairman and chief executive respectively, NatWest is now focused on driving growth across its business.

It recently tabled an £11bn bid to buy Santander UK, according to the Financial Times, although no talks are ongoing.

Mr Thwaite replaced Dame Alison Rose, who left amid the crisis sparked by the debanking scandal involving Nigel Farage, the Reform UK leader.

Sky News recently revealed that the bank and Mr Farage had reached an undisclosed settlement.

During the first five years of NatWest’s period in majority state ownership, the bank was run by Sir Stephen Hester, now the chairman of easyJet.

Sir Stephen stepped down amid tensions with the then chancellor, George Osborne, about how RBS – as it them was – should be run.

Lloyds Banking Group was also in partial state ownership for years, although taxpayers reaped a net gain of about £900m from that period.

Other lenders nationalised during the crisis included Bradford & Bingley, the bulk of which was sold to Santander UK, and Northern Rock, part of which was sold to Virgin Money – which in turn has been acquired by Nationwide.

The Treasury and NatWest declined to comment.

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US trade court blocks Donald Trump from imposing sweeping global tariffs – claiming he ‘exceeded his authority’

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US trade court blocks Donald Trump from imposing sweeping global tariffs - claiming he 'exceeded his authority'

A trade court in the US has blocked President Donald Trump from imposing sweeping global tariffs on imports.

The ruling from a three-judge panel at the Court of International Trade came after several lawsuits arguing Trump has exceeded his authority, left U.S. trade policy dependent on his whims and unleashed economic chaos.

“The Worldwide and Retaliatory Tariff Orders exceed any authority granted to the President by IEEPA to regulate importation by means of tariffs,” the court wrote, referring to the 1977 International Emergency Economic Powers Act.

The White House is yet to respond.

The Trump administration is expected to appeal.

This breaking news story is being updated and more details will be published shortly.

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‘Leicester is embargoed’: City’s clothing industry in crisis

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'Leicester is embargoed': City's clothing industry in crisis

You probably recall the stories about Leicester’s clothing industry in recent years: grim labour conditions, pay below the minimum wage, “dark factories” serving the fast fashion sector. What is less well known is what happened next. In short, the industry has cratered.

In the wake of the recurrent scandals over “sweatshop” conditions in Leicester, the majority of major brands have now abandoned the city, triggering an implosion in production in the place that once boasted that it “clothed the world”.

And now Leicester faces a further existential double-threat: competition from Chinese companies like Shein and Temu, and the impending arrival of cheap imports from India, following the recent trade deal signed with the UK. Many worry it could spell an end for the city’s fashion business altogether.

Gauging the scale of the recent collapse is challenging because many of the textile and apparel factories in Leicester are small operations that can start up and shut down rapidly, but according to data provided to Sky News by SP&KO, a consultancy founded by fashion sector veterans Kathy O’Driscoll and Simon Platts, the number has fallen from 1,500 in 2017 to just 96 this year. This 94% collapse comes amid growing concerns that British clothes-making more broadly is facing an existential crisis.

A trade fair tries to reignite enthusiasm for the city's clothing industry
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A trade fair tries to reignite enthusiasm for the local clothing industry

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More on this story:
The modern slaves making our clothes in Leicester
How Leicester’s textile workers are being exploited
Boohoo failed in Leicester supply chain malpractice

In an in-depth investigation carried out over recent months, Sky News has visited sites in the city shut down in the face of a collapse of demand. Thousands of fashion workers are understood to have lost their jobs. Many factories lie empty, their machines gathering dust.

Graphic

The vast majority of high street and fast fashion brands that once sourced their clothes in Leicester have now shifted their supply chains to North Africa and South Asia.

And a new report from UKFT – Britain’s fashion and textiles lobby group – has found that a staggering 95% of clothes companies have either trimmed or completely eliminated clothes manufacturing in the UK. Some 58% of brands, by turnover, now have an explicit policy not to source clothes from the UK.

Seamstresses in former Leicester factory
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Seamstresses in one of the city’s former factories

Clothing industry workers in Leicester
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Clothing industry workers in Leicester

Jenny Holloway, chair of the Apparel & Textile Manufacturers Association, said: “We know of factories that were asked to become a potential supplier [to high street brands], got so far down the line, invested on sampling, invested time and money, policies, and then it’s like: ‘oh, sorry, we can’t use you, because Leicester is embargoed.'”

Tejas Shah, a third-generation manufacturer whose family company Shahtex used to make materials for Marks & Spencer, said: “I’ve spoken to brands in the past who, if I moved my factory 15 miles north into Loughborough, would be happy to work with me. But because I have an LE1, LE4 postcode, they don’t want to work for me.”

Shahtex in Leicester used to make materials for Marks & Spencer
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Shahtex in Leicester used to make materials for Marks & Spencer

Tejas Shah is a third-generation manufacturer
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Tejas Shah, of Leicester-based firm Shahtex

Threat of Chinese brands Shein and Temu

That pain has been exacerbated by a new phenomenon: the rise of Chinese fast fashion brands Shein and Temu.

They offer consumers ultra-cheap clothes and goods, made in Chinese factories and flown direct to UK households. And, thanks to a customs loophole known as “de minimis”, those goods don’t even incur tariffs when they arrive in the country.

An online advert for Chinese fast fashion company Shein
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An online advert for Chinese fast fashion company Shein

According to Satvir Singh, who runs Our Fashion, one of the last remaining knitwear producers in the city, this threat could prove the final straw for Leicester’s garments sector.

“It is having an impact on our production – and I think the whole retail sector, at least for clothing, are feeling that pinch.”

Inside one of the city's remaining clothesmakers
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Inside one of the city’s remaining clothesmakers

While Donald Trump has threatened to abolish the loophole in the US, the UK has only announced a review with no timeline.

“If we look at what Trump’s done, he’s just thinking more about his local economy because he can see the long-term effects,” said Mr Singh. “I think [abolishing de minimis exceptions] will make a huge difference. I think ultimately it’s about a level playing field.”

A spokesperson for Temu told Sky News: “We welcome UK manufacturers and businesses to explore a low-cost way to grow with us. By the end of 2025, we expect half our UK sales to come from local sellers and local warehouses.”

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