Humza Yousaf resigns as Scotland’s first minister
Humza Yousaf has resigned as Scotland’s first minister after cutting ties with his government’s power-sharing partners.
The leader of the SNP, who only took on the role in March last year, has been at the centre of a chaotic few days in Holyrood after he made the surprise announcement to end his power-sharing deal with the Scottish Green Party on Thursday.
Mr Yousaf cut ties following a bitter row over the SNP’s climbdown on climate targets as he said the agreement between the parties had “served its purpose”.
But as a result, his former Green allies teamed up with the Conservatives, Labour and Liberal Democrats to get behind two no-confidence motions, one in himself as leader of Scotland and another regarding the entire Scottish government.
Ahead of any of those votes taking place, Mr Yousaf stepped down as Scotland’s first minister just after midday on Monday as he said he was “not willing to treat my values and principles or do deals with whomever simply for retaining power”.
He said he will remain in post until a replacement first minister is chosen.
Over the weekend, Mr Yousaf insisted he would not resign but by Monday morning his tune had changed and Sky News was told he was considering resigning.
He was due to meet the Alba Party’s sole MSP, Ash Regan, who was set to make demands in exchange for her support during a confidence vote. Her vote could have been the decider but he chose to step down before it came to that.
Announcing he was quitting, Mr Yousaf said he “clearly underestimated the level of heart and upset” he caused the Greens when he cut ties with them.
“To my colleagues in opposition, regardless of political party, genuinely, I bear no ill will and certainly no grudge against anyone,” he said as his voice broke while thanking his wife, children and family for “putting up with me over the years”.
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‘We stand ready to work with new leader’
Mr Yousaf said it had been “an honour” to serve as first minister of Scotland and it was a role he “could never have dreamt” of as a young boy growing up there.
The politician, whose parents are Pakistani and Kenyan, also said he is evidence multiculturalism has flourished in the UK.
“People who looked like me were not in positions of political influence, let alone leading governments, when I was younger,” he said.
“We now live in a UK that has a British Hindu prime minister, a Muslim mayor of London, a black Welsh first minister, and for a little while longer a Scottish Asian first minister of this country.
“So for those who decry that multiculturalism has failed across the UK, I would suggest that the evidence is quite to the contrary and that is something we should all celebrate.”
Mr Yousaf said he was proud to have overseen “the most progressive” tax system in the UK and played a part in lifting an expected 100,000 children out of poverty this year.
He added that he will continue to campaign for independence, which he said “feels frustratingly close” and he is “absolutely certain” his successor will achieve it.
The race to replace Mr Yousaf has now commenced, with several names in the fray, although none have officially declared they have thrown their hats in the ring.
Close ally of Mr Yousaf, John Swinney, former deputy leader under Nicola Sturgeon, is being touted as the favourite.
Stephen Flynn, the SNP’s Westminster leader, has also been mentioned as has Kate Forbes who lost out to Mr Yousaf during last year’s leadership contest.
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Sir Keir Starmer has said his government stands ready to use industrial policy to “shelter British business from the storm” after Donald Trump’s new 10% tariff kicked in.
The UK was among a number of countries hit with the lowest import duty rate following the president’s announcement on 2 April – which he called ‘Liberation Day’, while other nations, such as Vietnam, Cambodia and China face much higher US levies.
But a global trade war will hurt the UK’s open economy.
The prime minister said “these new times demand a new mentality”, after the 10% tax on British imports into America came into force on Saturday. A 25% US levy on all foreign car imports was introduced on Thursday.
It comes as Jaguar Land Rover announced it would “pause” shipments to the US for a month, as firms grapple with the new taxes.
On Saturday, the car manufacturer said it was working to “address the new trading terms” and was looking to “develop our mid to longer-term plans”.
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Jobs fears as Jaguar halts shipments
Referring to the tariffs, Sir Keir said “the immediate priority is to keep calm and fight for the best deal”.
Writing in The Sunday Telegraph, he said that in the coming days “we will turbocharge plans that will improve our domestic competitiveness”, adding: “We stand ready to use industrial policy to help shelter British business from the storm.”
It is believed a number of announcements could be made soon as ministers look to encourage growth.
NI contribution rate for employers goes up
From Sunday, the rate of employer NICs (national insurance contributions) increased from 13.8% to 15%.
At the same time, firms will also pay more because the government lowered the salary threshold at which companies start paying NICs from £9,100 to £5,000.
Also, the FTSE 100 of leading UK companies had its worst day of trading since the start of the pandemic on Friday, with banks among some of the firms to suffer the sharpest losses.
Sir Keir said: “This week, the government will do everything necessary to protect Britain’s national interest. Because when global economic sands are shifting, our laser focus on delivering for Britain will not. And these new times demand a new mentality.”
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Trump defiant despite markets
UK spared highest tariff rates
Some of the highest rates have been applied to “worst offender” countries including some in Southeast Asia. Imports from Cambodia will be subject to a 49% tariff, while those from Vietnam will face a 46% rate. Chinese goods will be hit with a 34% tariff.
Imports from France will have a 20% tariff, the rate which has been set for European Union nations. These will come into effect on 9 April.
Read more:
Red wall on Wall Street – but Trump undeterred
How will UK respond to Trump’s tariffs?
Sir Keir has been speaking to foreign leaders on the phone over the weekend, including French President Emmanuel Macron, Italian Prime Minister Giorgia Meloni and Australian Prime Minister Anthony Albanese, to discuss the tariff changes.
A Downing Street spokesperson said of the conversation between Sir Keir and Mr Macron: “They agreed that a trade war was in nobody’s interests but nothing should be off the table and that it was important to keep business updated on developments.
“The prime minister and president also shared their concerns about the global economic and security impact, particularly in Southeast Asia.”
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Trump’s warning
Mr Trump has warned Americans the tariffs “won’t be easy”, but urged them to “hang tough”.
In a post on his Truth Social platform, he said: “We are bringing back jobs and businesses like never before.
“Already, more than FIVE TRILLION DOLLARS OF INVESTMENT, and rising fast!
“THIS IS AN ECONOMIC REVOLUTION, AND WE WILL WIN. HANG TOUGH, it won’t be easy, but the end result will be historic.”
Crypto-friendly billionaire investor Bill Ackman is considering the possibility that US President Donald Trump may pause the implementation of his controversial proposed tariffs on April 7.
“One would have to imagine that President Donald Trump’s phone has been ringing off the hook. The practical reality is that there is insufficient time for him to make deals before the tariffs are scheduled to take effect,” Ackman, founder of Pershing Square Capital Management, said in an April 5 X post.
Trump may postpone tariffs to make more deals, says Ackman
“I would, therefore, not be surprised to wake up Monday with an announcement from the President that he was postponing the implementation of the tariffs to give him time to make deals,” Ackman added.
On April 2, Trump signed an executive order establishing a 10% baseline tariff on all imports from all countries, which took effect on April 5. Harsher reciprocal tariffs on trading partners with which the US has the largest trade deficits are scheduled to kick in on April 9.
Ackman — who famously said “crypto is here to stay” after the FTX collapse in November 2022 — said Trump captured the attention of the world and US trading partners, backing the tariffs as necessary after what he called an “unfair tariff regime” that hurt US workers and economy “over many decades.”
Following Trump’s announcement on April 2, the US stock market shed more value during the April 4 trading session than the entire crypto market is currently worth. The fact that crypto held up better than the US stock market caught the attention of both crypto industry supporters and skeptics.
Source: Cameron Winklevoss
Prominent crypto voices such as BitMEX co-founder Arthur Hayes and Gemini co-founder Cameron Winklevoss also recently showed their support for Trump’s tariffs.
Related: Trump tariffs squeeze already struggling Bitcoin miners — Braiins exec
Ackman said a pause would be a logical move by Trump — not just to allow time for closing potential deals but also to give companies of all sizes “time to prepare for changes.” He added:
“The risk of not doing so is that the massive increase in uncertainty drives the economy into a recession, potentially a severe one.”
Ackman said April 7 will be “one of the more interesting days” in US economic history.
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