UK-US Trade and Tariffs

Tom Gordon Excerpts

Thursday 3rd April 2025 Commons Chamber

[Jonathan Reynolds]

Fundamentally, I want to see greater market access to the US for small and medium-sized businesses in every part of the UK. We can tackle particular things as part of that, such as the regulatory system in the United States and the federal-state dichotomy, particularly for services and exports. All that is the prize on offer if we get this right. A big part of trade policy is also about not just free trade agreements, even though they tend to get the most prominence, but how we come to agreement on e-commerce and functions of online marketplaces and transactions. All that is a very practical difference that we can make, through good trade policy, to small and medium-sized businesses. That will be a premium and important part of the trade policy we are about to publish.

[Tom Gordon (Harrogate and Knaresborough) (LD)]

The pharmaceutical sector appears temporarily to have avoided tariffs, but that may well change. However, medical devices and diagnostics do not appear to have that same exemption. The UK is home to many medtech and diagnostic companies, and the tariffs will have an impact on them both here and abroad and may well push up prices. What conversations is the Secretary of State having with colleagues in the Department of Health and Social Care about ensuring access to medtech and diagnostics in the face of increasing prices?

[Jonathan Reynolds]

I thank the hon. Gentleman for his question. He may be aware of the biopharma conference held in the UK yesterday with the top chief executive officers of many of the leading companies in this area. It was attended by myself, the Prime Minister, the Secretary of State for Health and Social Care and the Secretary of State for Science, Innovation and Technology.

The hon. Gentleman is right to say that we could see further announcements in this area. There are particular US issues, such as the differential in drug pricing, which has always been a fairly prominent part of trade negotiations. There is an integration and shared aspiration between people in Government, such as myself and the Health Secretary, and recognition of our need to be more forward-leaning, to use more innovation, to look at how we provide that and the relative allocation of resources in our existing health system. We take that very seriously, and we are very much looking at that. There is a lot to do, and it is a difficult situation, but we need more of the success that the hon. Gentleman outlined.