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Tax hikes eclipse other key budget announcements in UK

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Tax hikes eclipse other key budget announcements in UK



In her second annual budget, UK Chancellor of the Exchequer Rachel Reeves yesterday sought to alleviate the impact of cost-of-living crisis by increasing public investments, reducing energy bills and extending fuel duty cut, but the tax hikes eclipsed other key budget announcements.

The United Kingdom has been facing steady inflation, a slack economy and a budget deficit.

In her second annual budget, UK Finance Minister Rachel Reeves yesterday sought to alleviate the impact of cost-of-living crisis by raising public investments, reducing energy bills and extending fuel duty cut, but the tax hikes eclipsed other key announcements.
Two Artificial Intelligence Growth Zones will be established in North Wales and South Wales, creating close to 8,500 jobs.

The Chancellor said too many families are still struggling with the cost of living, which is why the budget included a range of measures to cut bills and boost pay packets, according to an official release.  

He announced a £150 household energy bill saving, a fuel duty freeze and hikes in national minimum and living wages.

Changes to the Welsh government fiscal framework will mean that government has an extra £425 million spending power over the next few years.

Reeves announced reforms to modernise the tax system, asking those with broader shoulders to contribute more through long-overdue fair reforms.

An Artificial Intelligence (AI) Growth Zone will be established in North Wales with an investment of £5 million, creating 3,450 jobs, she announced. A similar zone in South Wales will create more than 5,000 jobs over the next decade.

The Youth Guarantee package announced will include ensuring that every eligible 18-to-21-year-old who has been on Universal Credit and looking for work for 18 months in Great Britain will get a six-month paid work placement.

Responding to the Chancellor’s Budget statement, Shevaun Haviland, director general of the British Chambers of Commerce said: “The Chancellor has listened to our calls and made the right choice by not piling major new tax rises on businesses’ shoulders, which will calm nerves. Firms will be pleased to see the commitment to transport and infrastructure, and critically the funding for planners the BCC has called for. It is now vital that the Government delivers on these promises.

“Business will welcome support for youth employment, stamp duty relief, protection for capital spending, a reduction in business rates multipliers and some investment tax breaks. They will be worried about salary sacrifice changes, mandatory wage increases, and retention of the energy profits levy, which will maintain cost pressures.

“Alongside this, we have seen UK-wide business support funding of almost £1bn axed and replaced with a system of piecemeal support which favours select urban regions. That risks further regional inequality and damage to rural economies. While most businesses will weather this new financial landscape, they are still being squeezed by rising costs. Many will be disappointed that this Budget did not provide a more compelling blueprint to deliver transformational growth.”

Fibre2Fashion News Desk (DS)



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Fashion

The new economics of fashion: Trust, longevity and price discipline

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The new economics of fashion: Trust, longevity and price discipline




Fashion demand in 2026 remains intact but more selective, with consumers spending cautiously and prioritising value, durability and versatility.
Intentional purchasing and promotion sensitivity are reshaping pricing dynamics and margin structures.
Polarised consumer behaviour is pushing brands to rebuild trust, justify full price and align sustainability with longevity.



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US brand Calvin Klein unveils Spring 2026 denim with Jung Kook

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US brand Calvin Klein unveils Spring 2026 denim with Jung Kook



Calvin Klein Inc., which is part of PVH Corp. [NYSE:PVH], announces the launch of its Spring 2026 denim campaign starring global brand ambassador Jung Kook of renowned boy band BTS.

Directed and shot by Mert Alas, the new chapter sharpens the focus on denim as the ultimate expression of personal style through icon Jung Kook’s distinctive and influential point of view as he lives in the moment.

Calvin Klein, owned by PVH Corp., has unveiled its Spring 2026 denim campaign fronted by BTS icon Jung Kook.
Directed and photographed by Mert Alas, the cinematic film fuses music, movement and city energy, highlighting 90s Straight, Baggy and reworked Trucker silhouettes.
A special appearance by Rosie Perez amplifies the brand’s signature visual storytelling.

The campaign unfolds across a series of immersive worlds, unified and guided by Jung Kook’s style, attitude and way of living. The high-impact film fuses fashion and entertainment, moving to an instantly recognizable soundtrack and brought to life through the artist’s signature choreography and commanding presence. The interplay of music and movement – complete with a cameo from New York City legend Rosie Perez – captures the impact synonymous with Calvin Klein’s iconic visual storytelling.

Calvin Klein jeans are at the center of the wardrobe with hero silhouettes leading the narrative: the effortless attitude of the 90s Straight; the relaxed and nostalgic proportions of the Baggy; and new interpretations of the iconic Trucker jacket — all reimagined with elevated washes and designed for versatility. Casual logo tees and oversized bombers complete the looks, reinforcing denim as both uniform and statement.

“I love Calvin Klein jeans because they’re designed to be lived in,” said Jung Kook. “The looks I wore for this campaign nod to ‘90s style while feeling completely modern. It was exciting to bring together my love of music, dance and fashion against the energy of the city.”

Note: The headline, insights, and image of this press release may have been refined by the Fibre2Fashion staff; the rest of the content remains unchanged.

Fibre2Fashion News Desk (RM)



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China targets 4.5 to 5% GDP growth for 2026

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China targets 4.5 to 5% GDP growth for 2026



China is aiming for a GDP growth rate of at least 4.5 to 5 per cent in 2026, according to a government work report submitted on March 05, 2026 to the national legislature for deliberation.

Premier Li Qiang, who delivered the report at the opening of the fourth session of the 14th National People’s Congress in Beijing, said the growth target is “well aligned with the country’s long-range objectives through the year 2035 and is broadly in line with the long-term growth potential of China’s economy, with favorable conditions in place for achieving this target.”

China has set a GDP growth target of 4.5–5 per cent for 2026, alongside goals to stabilise employment, manage inflation, maintain grain output and cut emissions.
The plan also preserves flexibility for structural reforms under the 15th Five-Year Plan, aiming to balance steady economic expansion with long-term, high-quality and sustainable development.

Main development targets for 2026 also include a surveyed urban unemployment rate of around 5.5 per cent, creation of over 12 million new urban jobs, a rise in the consumer price index of around 2 per cent, personal income growth in step with economic growth, a basic equilibrium in the balance of payments, grain output of around 700 million tonnes, and a drop of around 3.8 per cent in carbon dioxide emissions per unit of GDP.

Qiang said the targets took into account the need to leave room for structural adjustments, risk prevention and reform in the opening year of the 15th Five-Year Plan (2026–30) period, to lay a solid foundation for improved performance in the coming years. Government at local level should, taking into account their own conditions, make solid efforts to deliver positive outcomes, he added.

Analysts said the 2026 target reflects a pragmatic approach in recognising structural and cyclical challenges facing the world’s second-largest economy, while pursuing reasonable growth in line with high-quality development.

Fibre2Fashion News Desk (JP)



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