UPDATE: 0.1% UK Growth, Nuveen Buying Schroders, Epstein Files Global Fallout

Key takeaways

UK's GDP growth at 0.1% indicates economic stagnation, creating pressure on Prime Minister Keir Starmer.
Nuveen's acquisition of Schroders marks a pivotal moment for global asset management, emphasizing the strength of mergers in the financial sector.
Revelations from the Epstein files continue to unravel corporate ties, affecting reputations and operational partnerships.
Tariffs under Trump's administration are facing political challenges, indicating a potential shift in economic policy discussions.

Summary

UK Economic Growth Slows

The podcast discusses the UK's economic growth at just 0.1% for the fourth quarter, which fails to meet expectations and puts additional pressure on Prime Minister Keir Starmer. The government highlights growth in investment; however, GDP for 2025 only grew by 1.3%. The economic narrative is shifting, according to Treasury Minister Dan Tomlinson, who emphasizes the need for increased public sector investment to improve the country's infrastructure.

Nuveen Acquires Schroders

In a significant move for global asset management, Nuveen announces its acquisition of Schroders for £9.9 billion. This acquisition continues the trend of consolidating large financial businesses to bolster market strength and compete more effectively on a global scale, particularly in today’s challenging economic environment.

Epstein Files and Corporate Ties

The fallout from the release of documents related to Jeffrey Epstein's connections continues to impact the corporate world. The UK development finance bank has suspended its relationship with Dubai's DP World due to ties between its CEO and Epstein, reflecting a growing concern among investors over ethical governance. There’s ongoing scrutiny as investigations unfold about high-profile individuals linked to Epstein.

Political Implications of Economic Policies

The episode highlights the political backdrop to economic news with a discussion of how Donald Trump's tariffs are facing backlash in Congress. Democratic lawmakers accuse the Attorney General of using her office to target enemies of the President amid news of the EPSTEIN files. The impact of these actions and how they intertwine with the economy is flagged as a critical point of discussion.

Show notes

Your morning briefing. All the news you need to start your day

On today's podcast:

(1) Democratic lawmakers accused Attorney General Pam Bondi of using the US Justice Department to target enemies of President Donald Trump and bungling the release of files on disgraced financier Jeffrey Epstein during a fiery hearing Wednesday.

(2) Donald Trump’s tariff policies suffered their strongest political blow yet with the Republican-led US House passing legislation aimed at ending the president’s levies on Canadian imports.

(3) The UK economy grew less than forecast in the fourth quarter as business investment shrank and services stagnated, adding to pressure on embattled Prime Minister Keir Starmer.

(4) Nuveen is buying Schroders Plc in a £9.9 billion ($13.5 billion) deal, creating one of the world’s largest active asset managers with nearly $2.5 trillion of assets.

(5) French President Emmanuel Macron returned to his “Made in Europe” push on the eve of a key European Union meeting, putting him at odds with German Chancellor Friedrich Merz over how best to tackle Europe’s economic woes.

Podcast Conversation: In Defense of Fakes: A Provocation

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