UK Fights for 'Best Deal' as US Threatens Higher Tariffs on British Firms
High-level talks underway as UK aims to secure favorable terms for companies amid escalating US-UK trade tensions. Business leaders expect UK to build on existing Economic Prosperity Deal.
The UK government is engaged in high-level negotiations with the US administration to secure the best possible deal for British firms as the threat of increased tariffs looms large. Business leaders anticipate the UK will double down on the existing Economic Prosperity Deal (EPD) – announced by former President Donald Trump and Prime Minister Keir Starmer in May 2025 – rather than abandon the agreement altogether.
The move comes as concerns grow over the potential impact of a renewed trade war between the two allies, which could undermine hopes of significant US interest rate cuts and disrupt the delicate economic recovery on both sides of the Atlantic.
According to industry sources, UK officials are actively engaged in high-level talks with their counterparts in the US administration to find a mutually beneficial solution that protects British businesses from the threat of increased tariffs. The government is determined to secure the best possible deal for UK companies, ensuring they can continue to thrive and compete in the global marketplace.
"There is a real sense of urgency here," said one business leader, who spoke on the condition of anonymity. "The UK government knows it needs to double down on the existing EPD and find a way to work with the US to mitigate the impact of any potential tariff hikes. No one wants to see a return to the damaging trade wars of the past."
The EPD, signed in 2025, was hailed as a landmark agreement that would deepen economic ties between the UK and US, removing barriers to trade and investment while upholding high standards in areas such as labor rights and environmental protection. The deal was seen as a critical step in the UK's post-Brexit economic strategy, helping to offset the loss of unfettered access to the European single market.
Now, as the global economic landscape continues to evolve, the UK is determined to ensure that the EPD remains fit for purpose and delivers tangible benefits for British businesses. The upcoming talks with the US administration will be crucial in determining the future of this vital economic partnership.
"The UK government has made it clear that it wants the best possible deal for UK companies," said another source familiar with the negotiations. "They are willing to double down on the EPD and work constructively with the US to find a solution that works for both sides. No one wants to see a return to the kind of damaging trade wars that plagued the global economy in the past."
