The course of the US economy has changed since the beginning of April, when tariffs were introduced – and subsequently paused. This, combined with reduced immigration and already waning consumer and business confidence in the face of growing economic and geopolitical uncertainty, raises the question: have these tariffs introduced the possibility of a recession in 2025?

In this episode, Global Head of Research Brad Rogoff sits down with Ajay Rajadhyaksha, Global Chairman of Research, to unpack the economic effect, debating whether the anticipated slowdown in growth will lead to a recession in an economy that grew at 2.5% in 2024. Brad and Ajay examine key economic areas, including the labour force, consumer spending, business investment and currency effects as they discuss what’s next for the US economy.

Clients of Barclays Investment Bank can read further analysis of these topics in our Q2 2025 Global Outlook report and on our Tariffs 2.0 Hub on Barclays Live.