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Priorities for a UK-US Trade Deal

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Emerging UK regulatory realignment with the EU: a clear threat to a UK-US trade deal

Realignment between the UK and the EU in reaction to US tariffs would be against the British economic interest: it could also prevent an ambitious trade deal with the United States.

Catherine McBride OBE's profile picture

By Catherine McBride OBE

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Emerging UK regulatory realignment with the EU: a clear threat to a UK-US trade deal

Realignment between the UK and the EU in reaction to US tariffs would be against the British economic interest: it could also prevent an ambitious trade deal with the United States.

In this new Prosperity Institute briefing, the introduction to a series of publications in this area, Catherine McBride OBE and Lady (Sarah) Elliott, Director of the Prosperity Institute’s UK-US Special Relationship Unit, describe how regulatory realignment with the EU stands to stifle growth and roll-back UK sovereignty. Instead, the UK is in a position to use its initial trade negotiations with an Anglophile US Administration to begin working towards a comprehensive trade deal, unleashing greater prosperity for both nations.    

The US is the UK’s largest export market, but tariff costs are being passed on to consumers, already harming growth on both sides of the Atlantic.

Their gradual removal will enhance productivity and growth, and strengthen the Special Relationship between the UK and the US. The priority areas for these early negotiations include:   

  • Extending the existing data-sharing agreements between the US and UK, for ease of doing business. 
  • Reassessing Regional Value Calculations, to include R&D, design, and brand creation. 
  • Improving supply-chain security to reduce dependence on values-competitors. 
  • Revising Developing-Nation Status designation to create fairer trading rules, including removing large, middle-income countries from this designation. 

Removal of tariffs and non-tariff barriers (NTBs), and mutual recognition of national standards and regulations, will also be vital. It is imperative that this deal is the beginning of an ongoing relationship that is regularly revised to benefit both parties.