Trump and Starmer confirm ‘breakthrough’ US-UK trade deal

theguardian.comPublished: 5/8/2025

Summary

The UK and US have agreed a “breakthrough” trade deal slashing some of Donald Trump’s tariffs on cars, aluminium and steel and that the prime minister said would save thousands of British jobs. American tariffs on up to 100,000 British cars will also be reduced to 10%, down from the 27.5% rate Trump initially announced. Kemi Badenoch, the Conservative leader, criticised the deal, claiming that the UK has been “shafted” by Trump. Keir Starmer called this ‘historic.’ It’s not historic, we’ve just been shafted!” However Andrew Griffith, the shadow trade secretary, said the reduction in tariffs would “be welcomed by exporting businesses”. Jonathan Reynolds, the business and trade secretary, told reporters that the UK would continue trying to reduce the 10% baseline tariff.