This week Keir Starmer has not asked what he can do for Britain, but what Britain can do for America. His attempt at a trade deal has sold our country short of the comprehensive agreement which is what we need. It is a rushed response to Donald Trump’s tariffs that leaves almost every business with worse trading arrangements than we had in January – and far worse off than when he got the job.
No matter how much Labour Ministers try and spin it as something it is not – this is not the comprehensive deal that we all need. Keir Starmer is parading around like the emperor with no clothes, talking about the finery of his new suit whilst the world averts its eyes at this sight of our embarrassing leader and his cabinet who understand nothing about business.
A concern is that the rush to agree the first thing on the table reflected Starmer’s thinly veiled desire to rejoin the EU ahead of the ‘Surrender Summit’ next week. That a reduction in selected tariffs – welcome though they will be to British car and steel makers – was all that was obtainable in the context of his desire to revert to being a Brussels rule taker.
We Conservatives have been consistent in our support for international trade agreements, free trade and the elimination of tariffs. The mere fact that the UK was in the room is a concrete benefit of Brexit – the ability to determine our own future. Without that, we would be reduced to petitioning Ursula von der Leyen to represent Britain’s interests with Trump – one of 27 other countries and, as ever with Europe, held to ransom for our fish.
As Margaret Thatcher said about the US, “we share your ideals and your destiny”. And that is still true today. It is our largest trading partner, our closest friend and strongest security ally. We have the world’s strongest defence agreement, forming the cornerstone of NATO at this crucial time for global security. Four million jobs are supported by Britain and America across the Atlantic. We are each other’s largest investor. It is a special relationship.
When Keir Starmer came in, he promised growth. That was the right aim, but one he has utterly failed in so far. The right deal with the US could start to repair some of the damage he caused by trash talking the economy, hiking taxes to record highs and the devastating trade union red tape about to be unleashed on business. A comprehensive US trade deal covering all sectors and eliminating tariffs on both sides is the closest he will find to a silver bullet. He could then double down by firing his energy secretary and reversing his uncompetitive energy costs.
And it shouldn’t have been too hard. He just needs to pick up where we left off when we negotiated with President Trump in his first term. In Government, Kemi Badenoch even personally agreed landmark free trade agreements with a number of individual states which should make this even easier.
This is an increasingly urgent task. Now, more than ever, a good trade deal is what we both need. A new axis of evil is slowly but surely drawing closer together. Instability in the Middle East and war with Russia in Europe has left us exposed to energy shocks and increased the risks of terrorism. Global inflationary pressures and the lingering impact of Trump’s tariffs mean we can no longer rely on low borrowing costs.
But it is becoming increasingly apparent that Keir Starmer is the world’s worst negotiator, intent on snatching defeat even where victories lie within reach. The early signal of considering paying to give away our own sovereign British Overseas Territory in the Chagos Islands has other world leaders queuing up to take their turn in pulling one over Sir Keir. When Labour negotiates, Britain loses.
He is determined to tie our country into lopsided agreements that favour foreign countries, their businesses and workers, whilst stitching up British ones. His Trade Secretary, Jonathan Reynolds, said that any agreement that didn’t get rid of tariffs would be a failure. By his own mark – Starmer has failed. Most products made in Britain, will continue to face the 10% baseline tariff imposed in April.
As a patriot, I want Keir Starmer to succeed in securing the real deal with America, but this deal just is not it. Ahead of Thursday’s announcement, Brexiteers, vilified for so long, badly wished this to be the victory which vindicates our position. That moment will have to wait.
If this was the real deal, the opportunities for collaboration in artificial intelligence, global supply chains, energy security, and financial and professional services would be boundless. Non-tariff barriers as well as tariffs would have been addressed. But it isn’t, so they aren’t.
With a proper deal, every single part of the UK would benefit from better business access, more investment, better jobs and higher wages.
They deserve better than a Prime Minister taking a premature victory lap while he still wages his war on business. Keir Starmer is quickly becoming a dab hand at locking Britain into disadvantageous arrangements for generations. And we will all pay the price.