Your commercial news round-up: tariffs, UK schools, Adolescence, Tesco

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What’s going on in the news this week? US President Donald Trump has pressed pause on steep trade tariffs and UK secondary schools have been forced to cut more staff. Meanwhile, a new report has urged that streaming companies should contribute to a cultural fund to fuel growth of the UK TV and film industry and Tesco has cut its profit predictions.

• Trump has temporarily suspended the high trade tariffs on goods from most countries, lowering the import tax rate to 10%. However, he said he will raise tariffs on China even further to at least 125%. Earlier this week, the stock markets fell sharply due to fears of an escalating global trade war and tariffs leading to higher prices. According to BBC News, Trump’s decision follows pressure from Washington and other influential figures that had backed him during his presidential campaign. Chief North America economist for Capital Economics, Paul Ashworth, said: "Although President Donald Trump was able to resist the stock market sell-off, once the bond market began to weaken too, it was only a matter of time before he folded." Following the announcement, leading stock market index S&P 500 rose by 9.5% but remained 8% down for the year.
   
• From the US to the UK, half of English secondary schools have been forced to cut staff, according to a survey of 1,200 teachers across 1,000 schools by the National Foundation for Educational Research. The percentage of secondary school leaders cutting teachers has increased from 38% in 2024 to 51% in 2025. Findings also showed that many schools are reducing GCSE subject choice, extracurricular activities, school trips and investment in technology. CEO of the Sutton Trust, Nick Harrison, said: “State schools are overwhelmed with financial pressures and many are rapidly heading towards breaking point […] This is having a devastating impact on their ability to provide the support that the most disadvantaged pupils need, with almost half of secondary school leaders forced to use funding intended for poorer pupils to plug budget holes.” The educational charity called for a new national strategy to close the attainment gap.
   
• A report from the Culture, Media and Sport (CMS) committee has urged the government to support the creation of British film and television , following an enquiry into the impact streaming platforms have had on the UK TV and film industry. Findings revealed that last year there was a 27% decrease in the number of domestic high-end TV productions made in the UK and a 25% fall in spend. The report suggested that the government should improve support measures for producers and that streaming companies should pay “5% of their UK subscriber revenue into a cultural fund to help finance drama with a specific interest to British audiences". In particular, it highlighted how ”vital” dramas like Netflix’s Adolescence are to the UK’s "identity, national conversations and talent pipeline". The show recently became the fourth most popular English language series in Netflix's history with 114 million views. Chair of the CMS committee, MP Dame Caroline Dinenage, said: "While streamers like Netflix and Amazon have proved a valuable addition for the industry and economy, unless the government urgently intervenes to rebalance the playing field, for every Adolescence adding to the national conversation, there will be countless distinctly British stories that never make it to our screens."
   
• From British TV screens to the weekly shop, Tesco has said that it expects lower profits this year amid the price war between UK’s major supermarkets. Currently, it has forecast its profits between £2.7 billion and £3 billion. CEO Ken Murphy said the lower profit forecast will give Tesco more "flexibility and the fire power to maintain our position in the market". Last month, the company’s share price fell as Asda launched big price cuts, which analysts predict will start a price war. Supermarkets are also facing increased costs due to rises in National Insurance and the minimum wage. CEO of Retail Economics, Richard Lim, explained: "We live in an incredibly competitive sector when it comes to the grocery sector so price and value is always that key determinant that drives consumers through the doors.” However, equity research analyst at Quilter Cheviot, Lucy Rumbold, said: "We don't see Asda's recent pricing reset as something Tesco will worry about, with it likely to have little material impact on its profitability."

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