Higher Further Faster! UK Economy Faces Tariff Threat, Captain Marvel Weighs In

Bailey's Bank Blues

Hey Starforce fans! Carol Danvers here reporting live from… well not space this time. Turns out Earth's got its own problems like grown ups arguing about money. Andrew Bailey head honcho at the Bank of England is sweating about potential economic body blows from U.S. tariffs. He told CNBC that they're 'certainly quite focused on the growth shock.' I get it being focused is important. When I'm dodging Kree missiles laser focus is all that stands between me and a pile of cosmic dust. But this tariff stuff? Seems like Earthlings just love making things complicated don't they? He also mentions the central bank will consider “arguments on both sides” around the impact of tariffs on growth and domestic supply constraints on inflation. Sounds like a real party.

Supply Side Story

Bailey's saying there's a 'growth issue' – no kidding Sherlock! But according to him a big question mark is how much of that is caused by the weak demand how much of it is caused by a weak supply side. This is Earth's way of saying things are messy like when Goose coughs up a Tesseract. The weak supply side of course has the sort of the upside effect on inflation. So we've got to balance those two. Trade issue is now the new part of that story. Figures. Earth always finds a new way to make things interesting.

Tariffs Tantrums and Trade Wars

Apparently these tariffs could either make prices go up (inflation) or down (disinflation) depending on which way the wind blows. He also stressed that UK retaliation on U.S. tariffs did not appear likely pushing up inflation. It's like a cosmic tug of war except instead of a rope they're using… money? I don't know economics is weird. It's almost as weird as trying to explain to Fury why Goose isn't just a regular cat.

Recession? Relax… For Now

Good news folks! Bailey doesn't think the UK is about to faceplant into a recession but he does say economic uncertainty is making businesses and people nervous. Which let's be honest is pretty much the Earthling default setting. At least they're not facing a full scale Kree invasion… yet. But hey if that ever happens just remember: Higher further faster baby!

IMF: Its Worse Than We Though!

The IMF (International Monetary Fund) downgraded its 2025 growth forecast for the UK blaming tariffs high borrowing costs and energy prices. Looks like even those fancy pants economists are feeling the heat! But they admit forecasting is about as reliable as Nick Fury's eyepatch staying clean during a Skrull attack. The U.S. has slapped 25% tariffs on steel aluminum and autos and a 10% levy on other British exports. Ouch! UK officials are hoping for a trade deal with the White House because you know diplomacy and all that. Good luck with that.

The Waiting Game Begins

Bailey would be “very encouraged if the U.K. does make a deal,” but he knows the UK economy is still vulnerable to global slowdowns. Inflation will probably go up soon but not as much as before. The Bank of England is holding steady for now but markets think they'll cut interest rates soon. So basically everyone's just waiting to see what happens next. Which if my experience is anything to go by usually involves someone trying to conquer the universe. Stay frosty Earthlings!