UK economy, AI investments, Trump policies...

Rachel Reeves, the UK's Chancellor of the Exchequer, has unveiled plans to introduce a dozen tax increases as part of efforts to address Britain's fiscal challenges. The move aims to stabilize public finances but raises concerns about its potential impact on economic growth and consumer spending. Critics argue that higher taxes could dampen business confidence during a fragile economic recovery. The Telegraph

Kingfisher, the DIY retail group, has reported a decline in demand as consumers retreat into cautious spending amidst uncertainties about future incomes. This downturn signals broader challenges for the UK economy, where household confidence remains under pressure. Analysts suggest that a recovery will heavily depend on government measures to reassure citizens about financial stability. Financial Times

Chancellor Rachel Reeves has opted not to reduce VAT on energy bills, instead continuing subsidies to ease electricity costs for households. While this measure aims to provide targeted relief, some have criticized the decision, arguing that cutting VAT would offer broader benefits amid rising living expenses. Financial Times

The European Commission has issued warnings to several Eurozone countries over rising public spending, recommending that Finland face an excessive deficit procedure. Meanwhile, Italy appears poised to exit such measures. This highlights the ongoing tension between fiscal discipline and economic stimulus in the Eurozone. Financial Times

US retail sales growth has slowed due to an affordability crisis affecting households. This trend, compounded by inflationary pressures, underscores a growing economic challenge for policymakers and businesses. Efforts to stimulate consumer spending will likely dominate political discourse in the coming months. Financial Times

Taiwan has announced a $3.2 billion investment in its "AI Island" initiative, which includes building data centers, quantum hubs, and robotics labs to position itself as a leader in artificial intelligence by 2040. However, experts warn that power supply issues and geopolitical tensions with China could pose significant risks to this ambitious plan. Tom's Hardware

Revenue generated from AI coding tools like Anysphere's Cursor and Anthropic's Claude Code has surpassed $3.1 billion, reflecting a shift toward automation in software engineering. This surge demonstrates the transformative potential of AI in reshaping industries, though concerns remain about its implications for jobs and data ethics. The Information

The Trump administration has mandated a re-review of refugees admitted during the Biden era, potentially requiring new interviews for nearly 197,000 individuals. Critics warn that this policy could disrupt lives and strain the US immigration system, with no clear pathway for appeal for those who are rejected. USA Today

The UK government has proposed limiting jury trials to only the most serious cases, such as rape and murder, as part of judicial reforms. While intended to reduce backlog and costs, the proposal has sparked debate over access to justice and the preservation of legal traditions. Financial Times

The US has reportedly entered agreements with several countries, some accused of human trafficking, to accept deportees. These deals raise ethical and diplomatic concerns, with critics questioning the human rights implications of such arrangements. Washington Post (World)