UK now best placed country on trade – Reeves 3 hours ago Faisal Islam Economics editor, BBC News•@faisalislam The UK is now in a better place on trade “than any other country in the world”, the chancellor has claimed.
She told the BBC the UK was “not looking to have trade negotiations with China”, despite previously saying she wanted a long-term relationship with the country.
Reeves described the recent trade deals as having “come along like buses” and hinted at expectations of an upgrade to UK economic growth forecasts as a result.
“Britain is in a better place than any other country in the world in terms of deals with those countries,” she said.
Conservative leader Kemi Badenoch said the latest EU deal took the UK “backwards” and previously said the country had been “shafted” in the America tariff pact.
According to Reeves, the UK is currently the best-positioned nation on trade.
3 hours prior.
Faisal Islam.
Editor of Economics, BBC News•@faisalislam.
The chancellor has asserted that the UK is now in a better position on trade “than any other country in the world”.
Britain’s recent three trade agreements with the US, India, and the EU, according to Rachel Reeves, are expected to improve the country’s economic growth.
Reeves told the BBC that a trade agreement with Gulf nations, such as Saudi Arabia and Qatar, would be the “next deal” but that the government wanted to expand on its recent agreement with the EU.
She stated that she wanted a long-term relationship with China, but she told the BBC that the UK was “not looking to have trade negotiations with China.”.
The UK and the EU reached the largest agreement since the UK’s exit from the trading bloc in 2020 after the Brexit vote on Monday, covering a number of topics, including energy, trade, defense, and fishing.
The government struck a trade agreement with India to lower taxes on India’s exports of apparel and footwear and to facilitate the export of cars, whisky, and other goods by UK companies. This agreement preceded the summit in London.
Additionally, the government and US President Donald Trump have reached an agreement to lower tariffs on a number of goods that are traded between the two countries.
Recent trade agreements, according to Reeves, have “come along like buses” and, as a result, he hinted at an upgrade to UK economic growth projections.
In terms of agreements with those nations, she stated, “Britain is in a better place than any other country in the world.”.
“The first deal and the best deal so far with the US, we have the best trade agreement with India, and we have the best deal with the EU for any country outside the EU,” Reeves continued.
In addition to being significant in and of themselves, these demonstrate that Britain is now the ideal location for business and investment due to our advantageous agreements with the world’s largest economies. “.
According to the chancellor, the government is nearing an agreement with the six Gulf Co-operation Council members, which include Saudi Arabia, the United Arab Emirates, and Qatar. He told the BBC that this is the “next deal” with Gulf countries.
The government’s discussions with the US and India seem to have been aimed at the EU, the UK’s biggest trading partner.
The agreement with the EU has lowered checks on UK food exports in exchange for extending the current fishing regulations.
The Trump administration and India were informed by UK officials that food standards were not negotiable in their agreements, according to Reeves.
“We increased the quota for the import of beef from the US, but it was still on the high standards that we take pride in. We wanted to secure this agreement with the EU, which is by far the biggest market for UK agriculture and fishing, but we also wanted to ensure that standards are met,” the chancellor stated.
However, some opposition parties have criticized Reeves and Prime Minister Sir Keir Starmer for some of the concessions made in exchange for recent trade agreements, which the government has hailed as victories.
Kemi Badenoch, the leader of the Conservative Party, claimed that the most recent EU agreement put the UK “backwards” and that the nation had been “shafted” in the America tariff pact.
When the most recent official figures showed that the UK economy grew by 0.7 percent in the first three months of the year, the chancellor was given a boost last week.
Despite being larger than anticipated, the growth is not expected to continue.
To raise living standards, the government has made economic growth its top priority. A greater growth rate typically indicates that people are earning slightly more money, having more disposable income, and that businesses are investing to create more jobs.
The improved figures, according to Reeves, could boost UK growth forecasts. However, economists have cautioned that the economy may be negatively impacted by US tariffs and the chancellor’s decision to raise National Insurance for employers.
They will consider the new trade agreements that have been reached, she stated. “We are projecting growth of 1 percent this year, and we had 0.7 percent in Q1,” she said.
