Labour minister refuses to confirm US trade deal amid claims UK could be exempt from Trump tariffs

10 November 2024, 11:22 | Updated: 10 November 2024, 15:19

A Labour MP has refused to confirm whether the UK would strike an improved trade deal with the US amid claims it could be exempt from Donald Trump's proposed tariffs.

Speaking with Lewis Goodall on Sunday, Labour's Darren Jones told LBC that the UK already has a "very close trading relationship with the US".

He added that government would "like to improve" relations with the US going forward, but that any future relationship would hinge "on the detail".

It comes as one US governor suggested that the UK could avoid Donald Trump's proposed trade tariff increases on foreign imports.

The president-elect has previously said that he would increase rates on goods imported into the US from around the world by 10%, rising to 60% on those which come from China.

It comes in a bid to "protect" US industries and improve the domestic economy - claims made by the President-elect.

Lewis Goodall speaks to Priti Patel about the lessons the Tories will take from Trump's victory

With Lewis describing Donald Trump as a "hurricane", he asked Mr Jones, who is Chief Secretary to the Treasury and the Labour MP for Bristol North West, whether his party would be open to such a deal.

Mr Jones said that the UK already has a "very close trading relationship with the US", adding: "We maintained the position that free trade is in the interest of the UK and the United States economy, as well as allies around the world. And that's the basis on which we would like to operate." 

"Well, if the assumption is right that president-elect Trump and his administration wants to talk about improving trade, then of course we'll have those discussions with them," he told Lewis.

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Sources close to Mr Trump told the Telegraph on Sunday that the UK could be exempt from the tariffs which formed the basis of his economic platform.

A Government source had said: "As anyone would expect, we monitored the US election campaign closely and made sure we were well prepared for any outcome.

"We will continue to monitor developments, take advice and build relationships with counterparts to ensure we are placing Britain in the best possible position.

Speaking on a deal, Mr Jones added: "Obviously, it always depends on the detail of these things and we'd have to work that through."

"It's not that I'm saying I don't want to take advantage of it. I'm saying as of today, we don't know what the terms of that are, what the details are and president-elect Trump is not yet in office.

It comes as Priti Patel told Lewis that the UK had “strong lessons” to learn from Trump's stance on protectionism.

Speaking in response to Labour refusing to be drawn on a trade deal, Ms Patel told LBC the minister's comments are "a complete capitulation before discussions have even started”.

She said that any discussions on a free trade agreement should be welcomed and that the UK should “put forward a prospectus and be propositional”

“Look at the work done by a Conservative government,” she insisted, referencing the party's past deals with the Biden administration.

Adding that prospective, pro-active talks with the US "could lead to lower food prices in the UK".

It comes as David Lammy's position as Foreign Secretary appeared to be secured by Labour over the weekend.

Mr Lammy downplaying comments made about Donald Trump, with the Labour MP labelling the president-elect a "neo-nazi sociopath".

He subsequently insisted the pair could find "common ground" following the US election result.