Connect with us

Published

on

Elon Musk has criticised US President Donald Trump’s tax and spending bill, calling it “outrageous” and a “disgusting abomination”.

The bill, which includes multi-trillion-dollar tax breaks, was passed by the House Republicans in May, and has been described by the president as a “big, beautiful bill”.

The tech billionaire hit out at the tax cuts on his platform X, writing: “I’m sorry, but I just can’t stand it anymore.

“This massive, outrageous, pork-filled Congressional spending bill is a disgusting abomination.

“Shame on those who voted for it: you know you did wrong. You know it.”

President Donald Trump and Tesla CEO Elon Musk talk with to reporters near Tesla vehicles on the South Lawn of the White House Tuesday, March 11, 2025, in Washington. (Pool via AP)
Image:
Elon Musk left his ‘special government employee’ role last week. Pic: AP.

In American politics, “pork” is a political metaphor used when government spending is allocated to local projects, usually to benefit politicians’ constituencies.

Musk left the administration abruptly last week after working to cut costs with his team, the newly formed Department of Government Efficiency – known as DOGE – with the ambition of sacking federal workers and cutting red tape.

More on Donald Trump

The White House brushed Musk’s comments aside, claiming they did not surprise the president.

In a press conference on Tuesday, press secretary Karoline Leavitt said that “the president already knows where Elon Musk stood on this bill”.

She added: “This is one, big, beautiful bill.

“And he’s sticking to it.”

The White House on Tuesday asked Congress to cut back $9.4bn in already approved spending, taking money away from DOGE.

Please use Chrome browser for a more accessible video player

What did Musk achieve at DOGE?

The billionaire tweeted: “It will massively increase the already gigantic budget deficit to $2.5 trillion (!!!!) and burden American citizens with crushingly unsustainable debt.”

He also suggested voting out politicians who advanced the president’s tax bill.

“In November next year, we fire all politicians who betrayed the American people,” Musk wrote in another X post.

👉 Follow Trump100 on your podcast app 👈

How Musk’s mission to cut government spending fell flat

Last Thursday, Musk revealed on X that his scheduled time as a “special government employee” was coming to an end.

Before the news broke, Musk’s father told Sky News his son was “not a very good politician”.

But speaking to Gillian Joseph on The World, Errol Musk insisted there was “no rift between Elon and Donald Trump”.

Musk’s time at DOGE was controversial, with drastic cuts to America’s humanitarian efforts sparking particular criticism.

Questions have also been raised about whether the department has actually saved taxpayers as much money as suggested.

Musk initially had ambitions to slash government spending by $2trn (£1.5trn) – but this was dramatically reduced to $1trn (£750bn) and then to just $150bn (£111bn).

U.S. President Donald Trump speaks as Elon Musk carries X Æ A-12 on his shoulders in the Oval Office of the White House in Washington, D.C., U.S., February 11, 2025.   REUTERS/Kevin Lamarque     TPX IMAGES OF THE DAY
Image:
Elon Musk brought his son X Æ A-12 to the Oval Office during a press conference earlier this year. Pic: Reuters.

The 53-year-old, who famously brought his son X Æ A-12 to the Oval Office, also expressed frustration about resistance to his ideas and clashed with other senior members of the Trump administration.

He recently told The Washington Post: “The federal bureaucracy situation is much worse than I realised. I thought there were problems, but it sure is an uphill battle trying to improve things in DC to say the least.”

By law, status as a “special government employee” means he could only serve for a maximum of 130 days, which would have ended around 30 May.

Continue Reading

Business

Lloyds Bank’s Charlie Nunn expects two more interest rate cuts in 2025

Published

on

By

Lloyds Bank's Charlie Nunn expects two more interest rate cuts in 2025

The head of the UK’s biggest mortgage lender has said he expects two more interest rate cuts this year, making borrowing cheaper.

Chief executive of Lloyds Banking Group Charlie Nunn told Sky News he expected the Bank of England to make the cuts two more times before 2026, likely bringing the base interest rate to 3.75%.

Two cuts are currently anticipated by investors, the first of which is due to be a 0.25 percentage point reduction next month.

Money blog: World’s most powerful passports revealed

The banking group owns Halifax and Bank of Scotland, making it the biggest provider of mortgages.

Mr Nunn also forecast house price growth of between 2 and 3%.

“We helped 34,000 first-time buyers in the first half [of the year] alone, 64,000 last year. And of course, it was driven by the stamp duty changes in Q1 [the first three months of the year]. So Q2 [the second three months] was a bit slower, but we continue to see real strength in customers wanting to buy homes and take mortgages. So we think that will continue,” he said.

More on Interest Rates

Please use Chrome browser for a more accessible video player

Expect two more rate cuts this year, says Lloyds boss

It comes as the bank reported higher profits than City of London analysts had expected.

Half-yearly profit at the lender reached £3.5bn as people borrowed and deposited more.

The bank has benefited from high interest rates, set at 4.25% by the Bank of England to control inflation, which have made borrowing more expensive for households and businesses.

Over the last six months, the difference between what Lloyds earns on loans and what it pays out rose.

Mr Nunn told Sky News the profits were due to increased market share in mortgages and small business lending, as well as productivity improvements.

Despite this, Mr Nunn warned the chancellor against raising taxes on financial services, saying it was one of the highest taxed in the world.

Chancellor Rachel Reeves is expected to announce tax rises in the autumn as her vow to bring down debt has come under pressure due to the rising cost of borrowing and government spending U-turns.

Continue Reading

Business

AO chair Cooper interviewed for Channel 4 chair job

Published

on

By

AO chair Cooper interviewed for Channel 4 chair job

The chairman of AO, the online electrical goods retailer, has been interviewed to become the next chair of state-owned broadcaster Channel 4.

Sky News has learnt that Geoff Cooper, a former boss of the builders’ merchant Travis Perkins, is among the candidates in the running to take on the post in the coming months.

Whitehall insiders said that Mr Cooper was now one of the shortlisted contenders awaiting news of whether they would get the nod from Ofcom, the media regulator and culture secretary Lisa Nandy.

In recent weeks, Sky News has revealed that those vying to replace Sir Ian Cheshire include Justin King, the former J Sainsbury boss; Wol Kolade, a private equity executive who has donated substantial sums of money to the Conservative Party; Debbie Wosskow, a start-up founder who already sits on the Channel 4 board.

Simon Dingemans, a former Goldman Sachs banker who sits on the board of WPP, the marketing services group, has also been shortlisted, according to the Financial Times.

Sir Ian stepped down earlier this year after just one term, having presided over a successful attempt to thwart privatisation by the last Tory government.

He was replaced on an interim basis by Dawn Airey, the media industry executive who has occupied top jobs at companies including ITV, Channel 5 and Yahoo!.

More on Channel 4

The race to lead the state-owned broadcaster’s board has acquired additional importance since the resignation of Alex Mahon, its long-serving chief executive.

It has since been reported that Alex Burford, another Channel 4 non-executive director and the boss of Warner Records UK, is a possible contender to replace Ms Mahon.

A vocal opponent of Channel 4’s privatisation, which was abandoned by the last Conservative government, Ms Mahon is leaving to join Superstruct, a private equity-owned live entertainment company.

The appointment of a new chair is expected to take place by the autumn, with the chosen candidate expected to lead the recruitment of Ms Mahon’s successor.

The Department for Culture, Media and Sport has declined to comment on the recruitment process, while Mr Cooper could not be reached for comment.

Continue Reading

Business

Satellite tracker Spaceflux reaches lift-off with £5m funding boost

Published

on

By

Satellite tracker Spaceflux reaches lift-off with £5m funding boost

A British space surveillance company which has won a string of government contracts will this week announce a £5.4m fundraising to expand its global network of advanced telescopes.

Sky News understands that Spaceflux, which was founded three years ago, has secured the injection of capital in a round led by the UK Innovation & Science Seed Fund (UKI2S), which is managed by Future Planet Capital, as well as Foresight Group and Blackfinch Ventures.

Seraphim Space, the listed specialist investor in space-related companies, is also contributing funding.

Money blog: Renowned chef thinks luxury item should be wiped off menus

Spaceflux uses artificial intelligence and optical sensors to track satellites and debris across all orbits, with its daylight tracking capability meaning it can expand the observation window beyond night-time operations.

Its provision of space situational awareness technologies is in growing demand amid warnings that a week-long disruption to satellite navigation could incur a £7.6bn hit to the UK economy.

In a statement to Sky News, Marco Rocchetto, CEO and co-founder of Spaceflux, said: “As space becomes increasingly essential to our economy, environment and daily lives, it is also becoming more congested and contested.

More from Money

“This investment strengthens our ability to protect satellite technology that delivers crucial insights to Earth around the clock, reducing collision risks, and supporting a safer, more sustainable space environment for future generations”.

The valuation at which the funding was being committed was unclear on Thursday.

Spaceflux, which serves government and commercial customers, has been the exclusive provider of geostationary satellite tracking for the Ministry of Defence and UK Space Agency since 2023.

Read more on Sky News:
Tesla looks to cheaper model
Welfare versus warfare: Why PM must choose

Alex Leigh, an investment director at UKI2S, said: “This investment marks a significant step in the convergence of defence and space, where dual-use technologies are becoming increasingly important to UK capability.

“Spaceflux’s technology offers critical insights to help monitor and safeguard orbital assets – supporting both national security and the wider commercial ecosystem.

“The company is well-positioned to scale its impact and meet the needs of customers navigating an increasingly complex space environment.”

Continue Reading

Trending