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However, Trump, the president-elect, has talked of cutting the equivalent US federal tax from 35%to15%5%, raising the possibility of further cuts in the UK.
And now comes the news of further cuts to services.
Many schools have made efforts to save money in anticipation of further cuts.
Federal spending cuts, tax increases and the prospect of further cuts March 1 are hurting growth.
Hopes of further cuts in Europe and optimism about Japan's bank-reform plan also boosted markets.
The timing of the reduction was widely interpreted as a signal of further cuts to come.
Many Republicans have reacted hysterically to the idea of further cuts.
And Democrats expect that the Republicans can't stomach the idea of further cuts.
But much looser fiscal rule means Labour might need only £1bn of further cuts.
Tuesday's report may be seized on by advocates of further cuts in aid.
Analysts said the generally grim tone of the report lent support to the idea of further cuts in interest rates.
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CEO of Professional Science Editing for Scientists @ prosciediting.com