UK-US Trade and Tariffs

Stella Creasy Excerpts

Thursday 3rd April 2025 Commons Chamber

[Jonathan Reynolds]

As a former Treasury Minister, the right hon. Gentleman will know the kind of work that goes on to make sure that such assessments are made. The announcement came late last night; it is only last night and this morning that we have had the chance to respond to it. He will also appreciate that the impact on the UK is about not just the direct relationship between the US and the UK, but what happens in the wider global trading system. How other countries choose to react to the US announcements will be the determining factor for the impact on the UK, and we do not know that at this stage.

I promise to keep the House updated, and to update the right hon. Gentleman personally, if he wishes, at any stage on our work to assess the impact on the UK. For all Members of Parliament, this should be a time for reassurance, for calm heads and for giving clear information to British business on how we will navigate these difficult times. That is the correct message to send out from Parliament.

[Ms Stella Creasy (Walthamstow) (Lab/Co-op)]

If those on the Opposition Front Bench are still trying to propagate the arguments of 2016, I suggest they are a bit drunk on chlorinated chicken. We need to get real. Celebrating a tariff of 10% rather than 20% is like a person celebrating the fact that when they were mugged, only their wallet was taken, not their watch as well. The British public deserve better.

I am grateful to the Secretary of State for talking about our relationship with Europe, because who knows what President Trump will bring next week? We do five times more business with the European Union than with America. It is in our interest to have a close and stable trading relationship with Europe, but right now, that is up for grabs, too. What do the tariffs mean for the Secretary of State’s negotiations on the European reset, and for the summit in May?

[Jonathan Reynolds]

I am grateful to my hon. Friend for her question. Let me be clear again: no one is celebrating the position that the country found itself in this morning. We recognise the differential for the UK, but all of us in the House—Members from all parties—are disappointed by the announcement from the United States, and are seeking to provide a way through.

I know that my hon. Friend feels very strongly about this matter, but I reiterate to her that we do not have to make a choice between the US and the EU. They are two key, long-term and important trading partners, and security and defence partners as well. The EU summit next month is a key event. Our aspirations remain for an ambitious EU reset on trade, to rectify flaws in the agreement made by the previous Government. Our objectives are clear and were all in the manifesto on which Government Members stood for election and won. They remain a key priority. I assure my hon. Friend that the alignment in Government between the EU reset and the US negotiation is very strong.