The chancellor, Rachel Reeves, will hold urgent talks with leading City executives this week to assess the potential impact of US tariffs on the UK financial sector, as concerns grow over escalating trade tensions triggered by President Donald Trump’s economic policy.
Sky News has reported that executives from Hargreaves Lansdown, Lloyds Banking Group, Legal & General and M&G are expected to attend the meeting on Wednesday, with the Treasury seeking insight into how global market volatility could affect the UK’s financial services industry. According to Whitehall sources, the talks will form part of a broader consultation on shaping the Treasury’s financial services growth and competitiveness strategy.
While the tariffs announced by President Trump are not expected to have a direct and immediate impact on most City firms, the wider implications for global markets and investor sentiment are likely to dominate discussions.
A Treasury source said the chancellor intends to “show leadership, building on her statement to the House earlier today, and reiterating that the government will act decisively to take the right decisions in our national interest and protect working people”.
Reeves will also use the meeting to reinforce the UK’s commitment to working with international allies to reduce trade barriers, and will underline the government’s objective of securing the best possible bilateral trading arrangement with the United States.
Those expected to join the meeting include Charlie Nunn, chief executive of Lloyds Banking Group; Antonio Simoes, chief executive of Legal & General; and Dan Olley, chief executive of Hargreaves Lansdown.
The talks come amid heightened nervousness in global financial markets, with investors closely watching the potential knock-on effects of US protectionist measures. Although the UK’s financial services sector is not directly subject to the tariffs, the broader economic environment and sentiment-driven risks remain significant concerns for policymakers and business leaders alike.
