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Economy May 28, 2026

National Mission Needed to Tackle UK Youth Unemployment, Says Milburn Report

A new commission led by former health secretary Alan Milburn warns that more than 1 million 16‑24‑y…
The Guardian editorial argues that the UK must treat the plight of NEETs as a national priority, linking rising youth unemployment to inadequate training, housing costs and a fragmented policy framework.Milburn Commission Highlights Over 1 Million UK NEETsThe commission’s report, due in the autumn, shines a bright light on the 1 million young people aged 16‑24 who are not in education, employment or training. It criticises political attacks on welfare and “kids‑these‑days” rhetoric, insisting that the problem is fundamentally a policy failure.The Scale of the Crisis: Over 1 Million Young People Out of Work or Study1 million NEETs – roughly one in eight of the 16‑24 cohort.60 % are economically inactive, meaning they are not actively seeking work.Health‑related universal credit claims have risen in regions with fewer entry‑level jobs.Apprenticeship starts have fallen 35 % over the past decade.Why the UK Is Falling Behind Europe on Youth EmploymentCompared with other wealthy European nations, the UK records one of the highest rates of young people not in work or study. Contributing factors include:Housing inflation limiting independent living for young adults.Restrictive GCSE combinations that disadvantage less academic pupils.Chaotic further‑education reforms and the poorly‑implemented apprenticeship levy.Automation and AI‑driven profit growth that do not translate into entry‑level opportunities.A National Participation System: Pathway to Re‑engaging Young WorkersThe report proposes a new “participation system” that would coordinate work and pensions, health, education and business departments to pull young people into the labour market. While ambitious, the editorial stresses that without a clear, cross‑departmental mission the UK will continue to lose a generation to inactivity.
#Alan Milburn #NEET #UK government
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Politics May 28, 2026

Carney Calls for New US‑Canada Partnership to ‘Help Make America Great Again’

Canadian Prime Minister Mark Carney urged a refreshed US‑Canada partnership in a New York address, …
Mark Carney, Canada’s prime minister, called for a renewed US‑Canada partnership in a New York speech, framing it as a way to “help make America great again” and to boost Canada’s strategic autonomy ahead of the USMCA review.Carney Proposes a “True Partnership” in New York SpeechSpeaking in New York on Thursday, Carney said the two nations need a “true partnership” that re‑imagines cooperation in sectors under intense global competition. He argued that diversification away from the United States must be balanced with deeper collaboration on shared challenges.Trade Numbers Highlight Canada’s Strategic ValueCarney backed his call with striking statistics that underscore Canada’s importance to the U.S. economy:Canadian aluminium exports to the U.S. equal the energy output of 10 Hoover dams.Canada supplies 99% of U.S. natural‑gas imports, 85% of electricity imports and 60% of crude‑oil imports.Canada is the United States’ biggest customer for automobiles, outpacing China, Japan and Germany combined.Canada holds vast reserves of potash, nickel, copper and uranium, critical for food security, defence and AI‑driven energy demand.Implications for North American Trade and GeopoliticsThe speech signals a shift from confrontational rhetoric—exemplified by former President Donald Trump’s trade war and talk of annexation—to a strategic alignment that could reshape North‑American supply chains. By positioning Canada as a reliable source of critical minerals and energy, Carney aims to reduce U.S. vulnerability to “weaponised integration” and to counteract the “American hegemony” narrative he raised at Davos.What the Next USMCA Review Could Mean for Bilateral TiesThe mandatory USMCA review in July will test whether the proposed partnership can translate into concrete policy changes. If Canada’s proposals on aluminium, steel, automotive integration and critical minerals are embraced, the agreement could evolve into a deeper economic bloc, strengthening both nations’ competitiveness against China and other global rivals. Conversely, a failure to reach consensus may reignite tariff disputes and weaken the “strategic autonomy” Carney seeks.
#Mark Carney #United States #Canada
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World Wide May 28, 2026

Israeli Strike Triggers Smoke Over Beirut Amid Rising Tensions

Smoke rises over Beirut following an Israeli strike, escalating tensions in the already volatile re…
The LeadSmoke rises over Beirut following an Israeli strike, marking a significant escalation in the already tense region. The incident has drawn international attention as concerns grow over potential wider conflict in the Middle East.The Event DetailsThe Israeli strike targeted an unspecified location in Beirut, causing visible smoke to rise over the Lebanese capital. While details remain limited, the strike represents a notable development in the complex security dynamics between Israel and Lebanon.The Regional ImpactThe strike comes amid heightened tensions in the Middle East, with Lebanon already facing significant political and economic challenges. The incident could further destabilize the region and potentially draw in other actors in the complex web of Middle Eastern geopolitics.The International ResponseInternational bodies and neighboring nations are likely to closely monitor the situation, with concerns that the strike could escalate into a broader conflict. The United Nations and other diplomatic entities may be called upon to intervene and prevent further escalation.The Future OutlookThe coming days will be critical in determining whether this incident represents an isolated event or the beginning of a more sustained confrontation. The international community will be watching closely for any further developments and potential diplomatic responses.
#Israel #Beirut #Middle East
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Politics May 28, 2026

Latvia Parliament Forms New Coalition Government After Drone Controversy

Latvia’s 100‑seat Saeima approved a new four‑party coalition, installing 47‑year‑old centrist Andri…
New Coalition Takes Shape Amid Drone ControversyLatvia’s parliament has confirmed a fresh governing alliance after the previous cabinet fell apart over disagreements on anti‑drone defenses. The vote marks a decisive step toward stabilising a nation that has been rattled by several wayward Ukrainian drones crossing its borders.Parliament Votes 66‑34 to Install Andris Kulbergs as Prime MinisterBy a margin of 66 deputies out of a 100‑seat assembly, lawmakers endorsed Andris Kulbergs, a 47‑year‑old centrist, as Latvia’s next prime minister. He will lead the country until the scheduled parliamentary elections on October 3. The new cabinet retains outgoing foreign minister Baiba Braze and appoints Colonel Raivis Melnis as defence minister.Numbers Behind the Power Shift: Seats, Votes, and Demographics66 votes in favour, 34 against.Latvia’s population: roughly 1.8 million people.The coalition comprises four parties, giving it a “healthy majority” in the Saeima.Previous prime minister Evika Silina resigned in mid‑May after losing coalition support.Implications for Latvia’s Security and EU/NATO AlignmentThe new government has pledged to reinforce military and border security, a stance echoed by political scientist Nils Muiznieks who noted a “broad consensus on foreign‑policy priorities.” With NATO and EU membership, Latvia is likely to maintain strong solidarity with Ukraine, especially as President Volodymyr Zelenskyy has offered expert assistance for air‑defence upgrades.What Lies Ahead: Policy Priorities and Regional StabilityAnalysts expect the coalition to focus on:Accelerating anti‑drone and air‑defence capabilities.Ensuring economic and energy security amid regional tensions.Deepening cooperation with NATO allies and the EU.Preparing for the upcoming elections while maintaining a pro‑Ukraine stance.
#Latvia #Andris Kulbergs #Edgars Rinkevics
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Politics May 28, 2026

EU Trade War: Commissioners Meet to Tackle 'China Shock 2.0'

Facing a surge of cheap Chinese imports dubbed 'China Shock 2.0,' EU commissioners are convening to…
The EU's Strategic Pivot on ChinaEU commissioners are convening this Friday for high-stakes talks aimed at imposing new restrictions on imports from China. The meeting is driven by growing concern that Beijing's industrial overproduction is fueling conditions for US-style rust belt towns across Europe, effectively creating a 'China Shock 2.0' that mirrors the economic disruption seen in the US a quarter-century ago. Addressing 'China Shock 2.0'The scope of the crisis is unprecedented, with commissioners from all 27 member states reviewing portfolios ranging from trade and agriculture to defense, health, and digital initiatives. While no final decisions are expected on Friday, the gathering serves as a critical alignment exercise to address the systemic overproduction in China that is flooding the European market. The Economics of ProtectionismThe core issue driving these talks is the severe price disparity between local and imported goods. Sources indicate that Chinese imports are entering the EU at a cost sometimes up to 40% cheaper than locally produced alternatives. This price gap is forcing EU factories to cannibalize their own domestic market, a trend industry leaders warned earlier this month would undermine European manufacturing. Defensive Measures and Future LegislationTo counter this economic pressure, the EU is exploring a range of protective tools. Experts suggest that quotas and tariff rate quotas could be introduced as faster alternatives to traditional tariffs, specifically targeting sectors like hybrid cars and chemical components. Additionally, the EU is considering utilizing its never-before-used anti-coercion instrument and legislation such as the cybersecurity act 2.0 to block the procurement of specific Chinese products. A Calculated Response to BeijingLooking ahead, the EU faces a delicate balancing act. While experts like Ignacio García Bercero argue the bloc must show it is prepared to act tough, they also emphasize the necessity of maintaining engagement with China to ensure mutual respect. With China viewing market access to the EU as existential, analysts predict Beijing will fight back hard against any restrictions, potentially leading to retaliatory measures that the EU must be prepared to weather.
#European Union #China #Trade Policy
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Politics May 28, 2026

US Treasury Threatens Oman with Sanctions Over Hormuz Strait Control

The US Treasury has warned Oman of aggressive sanctions if it helps Iran establish a tolling system…
The LeadThe United States has escalated its threats against Oman, warning that it would "aggressively" impose sanctions if the Gulf ally helps Iran establish a tolling system in the Strait of Hormuz. This intensifies President Donald Trump's recent threats against Oman, including a warning to "blow them up" if they don't comply with US demands regarding the strategic waterway.US Treasury's Aggressive StanceUS Treasury Secretary Scott Bessent stated on Thursday that Washington will "not tolerate" either country imposing fees on commercial ships in the strategic waterway. "Oman, in particular, should know that the US Treasury will aggressively target any actors involved — directly or indirectly — in facilitating tolls for the Strait and any willing partners will be penalized," Bessent said in a social media post."All nations should reject outright any efforts by Iran to disrupt the free flow of commerce. Tehran's days of terrorizing the region and the world are over."Global Energy Security at RiskAbout 20 percent of the world's oil flowed through Hormuz before the conflict, making the Iranian blockade a major strain on global energy supplies. The closure has sent oil prices soaring and threatens economic stability worldwide. The strait's critical importance to global energy markets makes any disruption a matter of international concern.Regional Power Dynamics ShiftThe statement comes less than 24 hours after President Trump threatened to bomb Oman, a key US ally known for its neutrality and mediation efforts in regional crises. This unprecedented threat against a close security and economic partner signals a significant shift in US foreign policy in the Middle East.While Iran has suggested joint Iranian-Omani management of the Hormuz Strait, Oman has not explicitly stated it is seeking control over the waterway, parts of which flow through its territory.Future Outlook for Hormuz StraitThe US and Iran have been indirectly negotiating to reach an agreement for a comprehensive end to the war, with control over the Hormuz Strait emerging as a major point of disagreement. Trump has stressed that the strait must remain a free passageway for international commerce.Ali Bagheri Kani, deputy secretary of Iran's Supreme National Security Council, countered that Tehran will not allow Hormuz to be a source of insecurity for the country, stating that "the powers that have used this passage against Iran's security must be held accountable." The standoff continues as both nations dig in on their positions regarding control of this vital waterway.
#United States #Oman #Iran
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World Wide May 28, 2026

US Strikes Bandar Abbas: Escalating Tensions in the Strait of Hormuz

The United States has carried out strikes near Bandar Abbas, Iran's strategically important port ci…
The US Strikes on Bandar Abbas The United States has carried out strikes near Bandar Abbas, the second attack in less than a week on Iran’s strategically important port city, escalating tensions around the Strait of Hormuz despite a fragile ceasefire that has been in place between Washington and Tehran since April 8. Details of the Attack Reuters and The Associated Press, quoting unnamed US officials, reported that US forces shot down four Iranian drones and struck a ground control station for drones on Wednesday in Bandar Abbas. The strikes followed explosions in Bandar Abbas on Tuesday. Iran’s Ministry of Foreign Affairs accused Washington of violating the ceasefire through “aggressive acts” in Hormozgan province, where the port city is located. Significance of Bandar Abbas Bandar Abbas, home to key Iranian naval forces, occupies one of the most strategically sensitive positions in the Gulf. Its location on the Strait of Hormuz has made it central to both Iran’s military position and the wider confrontation with the US. Bandar Abbas lies on Iran’s southern coast, on the northern side of the Strait of Hormuz, the narrow waterway linking the Gulf to the Gulf of Oman and Arabian Sea. The city had a population of more than 526,000 people at the time of Iran’s 2016 census. Military Significance Bandar Abbas is the headquarters of both Iran’s conventional navy and the naval arm of the Islamic Revolutionary Guard Corps (IRGC). The conventional navy has used it as its base since 1977 when Iran moved much of its fleet from Khorramshahr at the western edge of Iran’s Gulf coastline, to Bandar Abbas, transforming the city into the country’s main southern naval command centre. According to the Middle East Institute, the IRGC navy later relocated its headquarters from Tehran to Bandar Abbas to improve operational control along the Strait of Hormuz. Economic Importance The Strait of Hormuz is not just a military chokepoint but also an economic lifeline. Analysts estimated that more than 90 percent of Iranian crude shipments transit through the strait. That makes Bandar Abbas and nearby Gulf infrastructure critical to government revenues, including the trade networks that help Iran circumvent sanctions, particularly by exporting oil to China. Impact on Peace Negotiations Diplomatic and military operations are unfolding simultaneously as Iran and the US have exchanged a volley of proposals and counterproposals for peace since the ceasefire began. “This is unfolding on parallel tracks. There is a military track and a negotiating track all unfolding at the same time,” said Samir Puri, a visiting lecturer in war studies at King’s College London. “The negotiators can only present the leverage they have from the field of battle.
#US #Iran #Bandar Abbas
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Politics May 28, 2026

Anti-Immigrant Anger Swells in South Africa as Migrants Are Forced onto Streets

Anti‑immigrant sentiment is intensifying across South Africa after local authorities began clearing…
Anti‑immigrant anger is reaching a new peak in South Africa as municipal officials ordered the removal of makeshift camps that housed thousands of migrants, leaving them exposed on public streets. The move has ignited protests, a surge in xenophobic incidents, and a heated debate over the nation’s immigration policy. Escalating Xenophobic Tensions After Forced Evictions City councils in Johannesburg and surrounding townships issued eviction notices this week, citing health and safety concerns. Residents of the cleared camps report being given less than 24 hours to vacate, with many forced to sleep on sidewalks or in overcrowded shelters. Evictions began on 2026-05-25 across three major informal settlements. Local NGOs estimate that over 5,000 migrants were displaced. Community leaders claim the actions were taken without adequate consultation. Limited Data Highlights a Growing Crisis Official statistics on the displacement are scarce, but available reports point to a sharp rise in xenophobic activity: The South African Police Service logged a noticeable uptick in hate‑crime complaints in the past month. Human‑rights groups note an increase in verbal and physical attacks targeting foreign nationals. Economic analysts warn that prolonged unrest could deter foreign investment. Political Fallout and Social Cohesion at Risk The government’s response has split opinion. While some politicians defend the evictions as necessary for public order, opposition parties and civil‑society groups accuse the administration of stoking xenophobia. President Cyril Ramaphosa called for “orderly migration management” but avoided direct criticism of local authorities. Opposition leader John Steenhuisen demanded an immediate halt to evictions and a review of immigration policy. International bodies, including the UN, have urged South Africa to uphold the rights of migrants. Potential Policy Shifts and International Scrutiny Analysts predict that sustained pressure could force the government to adopt a more coordinated approach: Implementation of a national framework for temporary housing of displaced migrants. Increased funding for community‑integration programs to mitigate xenophobic sentiment. Possible sanctions or aid reductions from foreign partners if human‑rights violations continue. Until concrete measures are taken, the risk of further unrest remains high, and South Africa’s reputation as a regional hub for trade and tourism could suffer.
#South Africa #Migrants #Xenophobia
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Business May 28, 2026

UK Ministers Weigh Shelving Carbon Tax on Fertiliser to Ease Food Inflation

The UK government is in talks to suspend a carbon tax on fertilisers, set to take effect early next…
The Proposed Suspension of Carbon Tax Ministers are in discussions about suspending a carbon tax on fertilisers, due to come into effect early next year, in an effort to curb food inflation. The move would be part of a package of measures, including the suspension of import tariffs on a range of foods including bread, biscuits and bananas. Impact on Farmers and Food Inflation Government sources said they were looking at suspending tariffs on a range of fertilisers in order to discourage farmers from leaving fields fallow. Farmers have been considering leaving their fields fallow because rising costs mean they risk selling their 2027 crop at a loss. This would increase food inflation, which is already expected to rise sharply as the conflict in Iran raises fuel and fertiliser prices. Fertiliser Costs and Global Supply Chain Fertiliser costs have soared since the beginning of the Iran conflict, during which the strait of Hormuz has been closed. About 35% of the world’s fertiliser passes through the waterway and, since the conflict broke out in late January, about 1m tonnes of fertiliser have been stranded in the Gulf. Fertiliser producers said they expected the new tariffs, which were being put in place to match an existing EU scheme, could add £100 per tonne to costs. The Future Outlook Ministers are also cutting fuel taxes for farmers. The rate for red diesel and rebated biodiesel has been cut by more than a third, which the Treasury said made it the lowest in more than two decades. According to analysis from the Central Association for Agricultural Valuers, a 500-acre wheat farm could make a loss of £70,000 in 2027 because of higher costs caused by the Iran war. With farmers making decisions about 2027 cropping now, the economic outlook means they could be making difficult decisions such as leaving fields fallow.
#UK Government #Food Inflation #Carbon Tax
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