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Trump tariff threat reignites ‘NHS Trump tax’ row as Lib Dems urge retaliation

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THE WELSH LIB DEMS have urged the UK Government to scrap what they brand an NHS “Trump tax” and to coordinate with European allies on countermeasures after Donald Trump announced a 10% tariff on UK goods from Saturday, February 1 — linking the move to his demand that the United States should acquire Greenland.

Jane Dodds MS, leader of the Welsh Liberal Democrats, said Wales would be among the parts of the UK most exposed to a tariff shock, warning that key sectors including advanced manufacturing, steel, food and drink, and life sciences are particularly vulnerable to rising trade barriers and market uncertainty.

She also argued the Greenland threat should not be treated as a routine trade dispute, describing it as economic coercion aimed at the sovereignty of Denmark — a democratic NATO ally — and a dangerous precedent for global security and international law.

Dodds said: “Donald Trump is trying to bully the UK and ransom the sovereignty of Greenland… That is economic coercion, and it cannot be met with appeasement.”

Call for coordinated retaliation

The Welsh Liberal Democrats are calling on Prime Minister Keir Starmer to work “in lockstep” with European partners to prepare a coordinated package of countermeasures and retaliatory tariffs, saying economic bullying must be met with a firm and united response.

They argue that acting alongside Europe would strengthen the UK’s hand and reduce the risk of Britain being picked off in bilateral disputes.

Dodds said: “We must also work in lockstep with our European partners to prepare a robust package of countermeasures and retaliatory tariffs to hit Trump and his cronies where it hurts… Britain is strongest when we stand alongside Europe, not when we act as a doormat for a bully.”

Wales’s exposure to a tariff shock

Although tariff announcements tend to be framed in national terms, the Welsh Liberal Democrats say the impact could be highly regional, hitting areas where export-reliant industries are concentrated.

Wales has major employers and supply chains linked to manufacturing, steel and food production, and the party warned that any sudden increase in costs for exporting to the United States could make Welsh products less competitive overnight — while uncertainty alone can chill orders and investment.

The party’s argument is that Wales has more to lose than most if the dispute escalates: fewer alternative markets for some producers, greater exposure to supply chain disruption, and less resilience in communities where one major employer underpins large parts of the local economy.

What is the ‘NHS Trump tax’?

At the heart of the Liberal Democrat intervention is a long-running row over medicines pricing and UK–US trade policy.

The Liberal Democrats have previously used the term “Trump tax” to describe what they say would be billions of pounds in additional pharmaceutical costs to the NHS, arguing that UK policy risks inflating the price of medicines and effectively transferring money from public health budgets into higher drug costs.

Dodds said: “This Government is still planning to hand over £3 billion a year in a so-called ‘Trump tax’ on our NHS through inflated pharmaceutical costs. With health and care services in Wales under immense strain, that is indefensible. Scrap the Trump tax and put that money into frontline care.”

However, the £3bn figure and the way it is presented remain disputed. Ministers and some analysts have previously challenged claims of an annual “tax” of that scale, arguing the numbers depend on assumptions and timeframes, and that the NHS retains protections on medicines pricing.

In short: the Liberal Democrats say the policy is a costly concession that should be reversed immediately — while the Government is likely to argue that the characterisation is politically loaded and that NHS safeguards remain in place.

Greenland: trade spat or geopolitical coercion?

By tying tariffs to the question of Greenland, the Liberal Democrats say Trump is pushing beyond normal trade leverage and into geopolitical coercion — a framing designed to increase pressure on the UK Government to respond not just economically, but as a matter of democratic solidarity.

The party says the UK should treat the Greenland threat as an issue of allied sovereignty and global norms, warning that failure to stand up to it could invite similar pressure tactics elsewhere.

But ministers may calculate that cooler diplomacy is more effective than public escalation — particularly given the UK’s long-standing security relationship with the United States, the role of NATO, and the reality that trade wars can rapidly damage businesses and consumers on both sides.

The Government may also argue that the UK must keep channels open to reduce the risk of tariffs widening beyond the initial 10% or spilling into other areas such as defence procurement, services, or strategic cooperation.

Why the Lib Dems say Europe matters

The Welsh Liberal Democrats say this crisis underlines the case for closer UK relations with the European Union, arguing that coordinated action would carry more economic weight and send a clearer message than unilateral UK measures.

They also point to Canada as an example of a democratic ally willing to stand firm and prepare countermeasures, arguing that deterrence — not concession — is the only language Trump respects.

Dodds said: “Canada has shown you do not deter Trump by pleading. You deter him by standing firm and being ready to act. The Prime Minister should do the same and defend our economy, defend our allies and defend our values.”

The political test at Westminster

The row sets up a high-stakes balancing act for Labour: projecting toughness against “economic bullying” while avoiding an all-out trade war that could rebound on UK consumers and exporters.

If the UK Government declines to pursue retaliatory tariffs, it risks being accused of weakness. If it retaliates too aggressively, it risks triggering further escalation.

For Welsh Labour in particular, the pressure is twofold: demonstrating it will stand up for Welsh industry and jobs, while also holding together a coherent UK-wide trade and foreign policy stance.

What happens next

The immediate question is whether the tariff threat becomes policy on February 1 — and whether it is confined to a narrow range of goods or becomes the opening move in a broader trade confrontation.

The second question is how the UK chooses to respond: quietly through negotiation, publicly through retaliatory tariffs, or in tandem with European allies in a coordinated package.

For the Welsh Liberal Democrats, today’s message is blunt: scrap the policy they say inflates NHS medicines costs, stand with Europe, and treat Greenland as an allied sovereignty issue — not a bargaining chip.

For ministers, the challenge is to protect Welsh exporters and UK consumers while navigating a dispute that mixes trade, diplomacy and security — and to do so without conceding ground on principles that democratic allies consider non-negotiable.

 

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Political row over taxpayer funding for media outlets

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MINISTERS have been accused of failing to ensure political neutrality among media organisations receiving Welsh Government funding.

Conservative Senedd member Andrew RT Davies challenged Plaid Cymru Culture Secretary Heledd Fychan over whether public money should be withdrawn from any media organisation found not to be politically neutral.

The row follows written questions tabled by Mr Davies, who asked whether the Welsh Government considered Nation.Cymru’s output to be politically neutral.

In response, Ms Fychan said the Welsh Government “does not hold a position on the political neutrality of individual media outlets in Wales”, but added that an impartial media was “critical to a functioning democracy”.

She said concerns over perceived bias in print and online newspapers were handled by the Independent Press Standards Organisation.

However, Mr Davies claimed that answer was wrong, pointing to IPSO guidance which says newspapers and magazines are allowed to be partisan generally, including in election coverage, provided the Editors’ Code is not otherwise breached.

Funding question

In a second written question, Mr Davies asked whether the Welsh Government would commit to withdrawing public funds from any media organisations that are not politically neutral.

Ms Fychan replied that it was not for the Welsh Government to determine what constituted a deviation from political neutrality by a media organisation.

She added: “However, as stated previously, we expect all media outlets in receipt of Welsh Government funds to operate without distinct political bias.”

Mr Davies said the answer showed ministers were failing to properly police the use of taxpayers’ money.

He said: “Plaid Cymru separatists are giving certain media outlets taxpayer funds, yet are taking no action to ensure their output is politically neutral.

“They wrongly stated complaints should be referred to IPSO, despite the organisation having no powers to prevent political bias.

“This is simultaneously incompetent and a serious misuse of taxpayers’ money.”

Welsh Government stance

The Welsh Government’s position is that it does not make rulings on the political neutrality of individual media outlets, while expecting organisations receiving public funds to avoid distinct political bias.

The dispute is likely to fuel wider debate over public support for journalism in Wales, particularly where funding is awarded to outlets that also publish political commentary or opinion-led material.

 

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Council tax revaluation row as Conservatives warn working families will be hit

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PLAID CYMRU ministers are facing pressure to clarify whether a controversial council tax revaluation will go ahead in 2028, amid warnings it could leave thousands of Welsh households paying more.

The Welsh Conservatives have claimed the proposed shake-up would hurt working families and worsen cost-of-living pressures at a time when household budgets are already under strain.

The row follows reports that new Local Government Minister Siân Gwenllian MS said the Welsh Government was “actively looking” at whether the revaluation should proceed.

However, First Minister Rhun ap Iorwerth told BBC Radio Wales on May 13 that it remained the government’s intention to press ahead.

The revaluation forms part of wider council tax reform in Wales, with ministers previously arguing that the current system is outdated and unfair. Welsh homes were last revalued for council tax purposes in 2003, with the current bands coming into force in 2005.

Under existing plans, homes would be revalued in 2028, with further revaluations every five years.

Ministers say the aim is to make council tax fairer and more progressive, with properties placed in bands that better reflect current values.

But opponents argue that any revaluation risks creating significant numbers of losers, particularly in areas where house prices have risen sharply.

Peter Fox MS, Welsh Conservative Shadow Minister for Finance, Local Government and Communities, said the mixed messages from ministers would cause confusion for councils and households.

He said: “The First Minister has already said that council tax revaluation will go ahead in Wales in 2028, so these mixed messages from the Minister will cause confusion amongst local authorities.

“We all remember Labour’s last council tax revaluation in 2004, which was claimed would be revenue-neutral, but there were many more losers than winners.

“The last thing that people need right now is to be spending even more on their council tax bills than before.

“Plaid must ditch this policy and focus on helping families keep more of their money rather than looking for more revenue.

“Council tax has increased at a much faster rate in Wales compared to England, putting increased pressure on household budgets.

“Council tax revaluation is a tax increase by stealth. If Plaid Cymru are serious about wanting to support families with the cost of living, they should scrap council tax revaluation.”

Council tax remains one of the most politically sensitive household bills in Wales, with annual increases already placing pressure on residents.

Supporters of reform argue that the current system is based on outdated property values and leaves some lower-income households paying a disproportionate share.

Critics, however, say that any major revaluation during a cost-of-living squeeze could lead to sharp bill increases for families who are asset-rich on paper but already struggling with day-to-day costs.

The Welsh Government has previously said reforms are intended to be fairer and not simply a way of raising more money overall.

But with the 2028 timetable now under renewed scrutiny, councils and households are waiting to see whether Plaid Cymru ministers will confirm, delay, or rethink the revaluation plan.

 

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Founders Day hailed a success despite rising costs and extra security

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MILFORD HAVEN FOUNDERS DAY 2026 drew crowds to the town centre on Saturday despite difficult weather, rising costs, and significantly increased security measures.

Visitors braved spells of rain and strong winds to enjoy a packed programme of entertainment, community stalls, children’s attractions and live music throughout the day.

This year’s event featured a large number of bouncy castles supplied by Fun Times Bouncy Castles, alongside food stalls, small funfair rides, free face-painting, and a magician entertaining families.

There was also a wide range of independent traders and community attractions. Among the more unusual stalls was Sylvia Llewellyn’s popular button collection, featuring unusual and decorative buttons gathered from around the world, while Han’s Taxidermy attracted interest with framed butterflies and beetles on display and for sale.

Milford Youth Matters praised

Milford Youth Matters said its volunteers worked “non-stop” throughout the day, running a stall and delivering activities for the community.

The group said the poor weather made conditions difficult but praised volunteers for their determination and enthusiasm.

A spokesperson said: “Despite the challenging rain and wind throughout the day, our incredible team of volunteers worked tirelessly to make our contributions a success.

“They gave up their time to support the community, run activities, welcome visitors, and kept going with enthusiasm and smiles all day long.

“The weather may have been challenging, but the dedication, resilience, and hard work shown by our volunteers was outstanding. Their commitment helped create a fantastic community event that was enjoyed by people of all ages.”

Security stepped up

This year’s event also had a noticeably different feel, with security personnel present for the first time.

Organiser Byron Jenkins told The Herald that around 13 door staff were on duty throughout the event — something not seen at previous Founders Day celebrations.

The Herald understands the increased security presence followed concerns after the Milford Haven school knife incident and the stabbings at Tenby railway station.

Organisers also revealed that the cost of staging Founders Day has now risen to around £10,000.

Road closure costs have also become a major expense, with organisers telling The Herald that Pembrokeshire County Council charged around £800 for the temporary road closure order required to hold the event safely.

Despite the extra costs and challenging conditions, organisers said the event was well supported and thanked local businesses, volunteers and residents for helping make the day a success.

Milford Youth Matters also thanked Milford Haven Business Circle and the wider community for their continued support.

 

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