Britain urged to strike EU trade deal after Trump agreement: Live


This historic US trade deal is a personal victory for Keir Starmer

By any standard, going from “Two-Tier Keir” to “Two-Deal Keir” in the space of two days counts as a considerable achievement.

Britain’s new multibillion-dollar trade deal with the United States, coming as it does so soon after the equally consequential, far-reaching partnership agreement with India, has bestowed a much-needed sense of momentum and purpose on Sir Keir Starmer’s beleaguered administration.

So also, presumably, will the “Brexit reset” that may well be revealed at the EU-UK summit later this month.

Britain has thus concluded – or shortly will – closer economic partnerships with the largest population on earth (India), the largest and still the most dynamic economy (America), and the UK’s most crucial single market (Europe). Last week may have been a miserable one for the prime minister, but he has every reason to feel confident now.

Read the full editorial here:

Holly Evans9 May 2025 13:00

No10 refuses to rule out changes to digital services tax

Downing Street has declined to rule out changes to the digital services tax as part of a future agreement with the United States.

Asked whether changes to the tax would be on the table in future negotiations, a Number 10 spokesman said: “The position on the digital services tax remains unchanged.

“Obviously, there are continuing discussions and, as I say, this is the beginning of the process.

“This deal marks only the beginning. We are continuing talks on that wider economic deal which will look at increasing digital trade, which is a tremendous opportunity.

“And that kind of work on a digital trade deal will strip back paperwork for British firms trying to export to the US, opening up the UK to a huge market that will measurably boost the UK economy.

“That deal also opens the way to a future UK-US technology partnership through which our science-rich nations will collaborate in key areas of advanced technology, for example biotech, life sciences, quantum computing, nuclear fusion, aerospace and space.”

Holly Evans9 May 2025 12:42

Tech deal with US must keep children safe online, Lib Dems say

Responding to reporting that the UK has not ruled out a tech deal as part of future trading negotiations with the US, Daisy Cooper MP, Liberal Democrat Deputy Leader and Treasury Spokesperson, said: “As the Government starts the next phase of UK-US trade negotiations, the PM must be clear that the UK won’t trade away our children’s online safety, weaken protections against online scammers or give big tax breaks to US tech giants.

“The PM must express that any “science and tech partnership” with the US should boost R&D and strengthen supply chains – not double down on making the online world even more of a Wild West.

“Negotiating in the UK’s interests must include keeping our children safe online and ruling out massive tax breaks to tech billionaires like Elon Musk.”

Archie Mitchell 9 May 2025 12:37

What is the impact of the deal on the agricultural industry?

The two governments have negotiated new reciprocal market access on beef, giving UK farmers a tariff-free quota of 13,000 metric tonnes of meat.

There are concerns that the new reciprocal market access on beef could lead to a decline in food standards. However, the UK government insisted that there will be “no weakening of UK food standards on imports”, amid concerns a deal could pave the way for the import of hormone-treated beef from the US.

Donald Trump also played down concerns that it could open up UK markets to chlorine-washed chicken, saying the UK will “take what they want” when it comes to US beef and chicken imports, rather than being forced to accept lower standards.

US agriculture secretary Brooke Rollins added: “Specific to the beef, this is going to exponentially increase our beef exports. And to be very clear, American beef is the safest, the best quality, and the crown jewel of American agriculture for the world.”

A consistent red line in negotiations has been food standards, amid fears a trade deal could open Britain’s doors to hormone-injected beef and chlorinated chicken.

Holly Evans9 May 2025 12:30

The phone call from Trump to Starmer that finally led to a trade breakthrough

On Wednesday night, the prime minister had been expecting to settle in to watch his beloved Arsenal take on Paris Saint-Germain in the semi-final of the Champions League.

The game would end in defeat for the London side, beaten in the French capital and ending another season trophyless.

Read the full analysis from our politics team here:

Holly Evans9 May 2025 12:00

US trade deal a ‘political win’ but will do little for UK growth, say experts

Britain’s trade deal with the US is unlikely to boost the economy much, experts have said, but some praised the lack of concessions on the UK side as a success.

Economists were sparing in their praise for the deal, with the National Institute of Economic and Social Research (Neisr) saying the boost for UK gross domestic product (GDP) will be minimal.

That is partly because a blanket 10% tariff imposed on imports of most goods by Mr Trump as part of his sweeping “liberation day” announcement remains in place, though talks are ongoing in a UK effort to ease it.

US president Donald Trump holds a press conference with British prime minister Keir Starmer in the East Room of the White House in Washington, DC, on 27 February 2025 (AFP via Getty Images)

Ben Caswell, Neisr’s senior economist, said: “Whilst the new trade deal with the US constitutes a political win for the Government, the direct impacts on UK GDP are likely to be very small, given we export just £9 billion worth of cars to the US each year and the vast majority of goods won’t benefit from this tariff relief announcement.”

But he added that it would “deliver a welcome boost to business confidence amid the UK’s fragile economic outlook this year”.

Matthew Ryan, head of market strategy at finance firm Ebury, added that while it “unlikely to have any real implications for the UK economy”, and added that the terms of the deal are “not overly favourable” for Britain.

“Let’s not forget that this is also far from a full-blown trade agreement, which will likely take months, if not years, to be finalised, and it will still be some time before the finer details are ironed out.”

Holly Evans9 May 2025 11:37

No concessions on Online Safety Act or NHS as part of UK-US trade deal

The general terms of the deal were published late on Thursday, and stated the UK and the US are “beginning negotiations” to “develop and formalise the proposals” that have been made.

It also suggested either country could “terminate” the “arrangement” in the future with written notice, and it could be further altered in the future at the request of either side.

The UK’s digital services tax, which mainly applies to US tech companies, was not revised as part of the deal as had been speculated.

The deal also does not include any concessions on the Online Safety Act or the NHS, the Business Secretary insisted.

In future, the UK will have “preferential treatment” when it comes to pharmaceuticals, as Mr Trump considers import taxes on drugs and medicines.

Holly Evans9 May 2025 11:20

Rachel Reeves says the UK did not cave to ‘performative politics’ in securing deal

Rachel Reeves has said that she is “proud” that the UK is the first country to strike a deal with the US after Donald Trump imposed sweeping tariffs, describing it as a “landmark” agreement.

Writing in The Times, the chancellor said that the deal would protect thousands of jobs in the car and steel industry, and will provide “unprecedented market access” for British farmers.

“There are those who would have advocated we take a different approach,” she wrote. “That we cave into the performative politics, which would have made for a good soundbite, but would have harmed our economy, threatened business, and put working people out of work.

“Those are not the actions of a government acting in the national interest and they are not the actions I will take.”

Chancellor Rachel Reeves called the UK-US trade deal a ‘landmark’ agreement (Andrew Milligan/PA)
Chancellor Rachel Reeves called the UK-US trade deal a ‘landmark’ agreement (Andrew Milligan/PA) (PA)

Holly Evans9 May 2025 11:01

Analysis: Trump and Starmer put lipstick on a pig of a trade deal

Given that the entire premise of Trump’s tariff gambit was that countries were “taking advantage” of the United States, it might come as a surprise that his first agreement was with one of the few countries with which the U.S. has a trade surplus.

The president did not let that small detail spoil the celebration.

“We have a big economic security blanket, and that’s very important, and we feel very, very comfortable with that, because it’s been a great ally, truly one of our great allies,” Trump said at the White House, announcing the tentative deal with the United Kingdom.

Read the full analysis here:

Holly Evans9 May 2025 10:52

Join our Q&A and ask a question about the US-UK trade deal

The landmark US-UK Economic Prosperity Deal has been agreed — and it’s already being hailed as one of Keir Starmer’s biggest triumphs as prime minister. Just days after clinching a long-delayed trade deal with India, Sir Keir has secured an agreement with Donald Trump’s White House that promises to ease tariffs, open markets and deepen ties between the two countries’ economies.

Submit your questions here and join us at 3pm to hear John’s take on how the deal was done, what’s in the fine print, and how the politics of trade could reshape Britain’s economic future.

Holly Evans9 May 2025 10:30



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