Unwrapping in 2025 – Fashion in politics: What to anticipate under Trump's presidency and UK's Labour party

If anything, 2024 was a year in which the world underwent somewhat of a global political evolution, with many countries undergoing elections that will make next year a one rife with change. FashionUnited takes a look at what is on the horizon as the biggest stories of this year continue to unfold into 2025.

What is to come under Trump’s return to presidency?

Are tariffs on the rise?

Upon the announcement of Donald Trump’s forthcoming re-election, the returning US president has been firm on his stances about certain core policies. One of these is to impose universal tariffs between 10 to 20 percent on all imports into the US, while Chinese imports could end up with a 60 percent tariff. These plans have been met with a disjointed reaction from the industry; some believing it could make fashion imports from overseas less competitive for American-made goods, while others expressed concern that such costs could be imposed on the already tightly-strapped consumer.

According to the National Retail Federation (NRF), for example, the tariffs “would have a detrimental impact on the costs of a wide range of consumer products sold in the US” and could be “too large for US retailers to absorb”. Trump has countered these concerns by pushing for a ‘Made in USA’ mindset, with promises to revitalise local production.

Will TikTok be banned?

Another topic in the hot seat is the future of TikTok. The social media platform is to be at the centre of a debate on January 10 addressing the question of whether a law requiring TikTok to either be sold or banned in the US violates the First Amendment. It could reverse a law signed in by current president Joe Biden which had intended to ban the app in regards to concerns over its parent company ByteDance’s ties to China. TikTok moved to sue the US government claiming it had crossed an unconstitutional line, and stating that a sale could inevitably lead to the platform being shut down by January 19, 2025. A federal appeals court upheld the decision in December, leading TikTok to file for an emergency injunction. The US Supreme Court is now due to hear arguments and assess how to move forward.

Bills, bills and more bills

As a new political dawn descends upon us, questions as to which US bills are to see the light of day arise. While 2024 rang in a number of important textile-related sustainability acts, including California’s landmark Responsible Textile Recovery Act, there are still some that continue to be weighed. The America’s Act is possibly one of the starkest examples. Introduced in March, the bill intends to support domestic circular businesses and textile manufacturing, incentivise reshoring and nearshoring, and put measures in place to reduce the possibility of products made using forced labour from entering the country.

Reintroduced in early 2024, the US senate is also reviewing the FABRIC Act (the Fashioning Accountability and Building Real Institutional Change Act). The bill proposes federal legislation aimed at revitalising the US domestic garment industry, with the mission of establishing the country as a global leader in responsible apparel production.

The UK’s incoming budget ignites debate

Eyewatering business cost increases

A new Labour government was appointed to the helm of the UK in July, making the party’s head, Keir Starmer, prime minister. By October, Labour’s first Autumn Budget was due. However, hope that the party would initiate plans to save the retail sector soon fell to the wayside, as Chancellor Rachel Reeves laid out a series of tough measures in a bid to curb economic instability.

Among these was an adjustment to the current 75 percent discount on business rates, set to expire in April 2025, after which it will be replaced by a new 40 percent discount, capped at 110,000 pounds. National minimum wage will rise to 12.21 pounds, while employers’ National Insurance will also increase to 15 percent. The budget has been heavily criticised by industry leaders and analysts, alike, with many raising fears as to the excessiveness of the changes, and what the lasting impact could be on the high street and retail market.

What to expect from the Employment Rights Bill

A new bill put forth by Labour was dubbed by the party to be bringing “the biggest upgrade to workers’ rights in a generation”. Among the proposals, many of which still need to be debated and amended, is the pledge to end “exploitative” zero-hour contracts, more leniency on flexible working hours, a new initial period for unfair dismissal claims and limitations to “fire and rehire” practices.

Another one of Starmer’s core missions was an overhaul of the outdated Apprenticeship Levy, which will now be addressed under the title ‘Skills England’. Next to the launch of a new Industrial Strategy, Starmer’s plan to achieve so-called “wealth creation” comes down to building on the relationship between business and the education system, and thus how young people and adults are trained. Through Skills England, the prime minister wants to address the lack of training available to such individuals through phases that will continue to roll out over the coming months.