Donald Trump has put the possibility of a long-awaited UK-US trade deal back on the table after a key meeting with “Starmer the charmer” in Washington.
The US president said there was a “very good chance” of a “real deal” that would not involve tariffs – something he has imposed on other countries.
But previous attempts to strike such an agreement failed under the Tories, with key sticking points including food standards and the NHS.
So what could a deal under Labour look like?
Patients in clinical trials – but NHS ‘not up for grabs’
Health Secretary Wes Streeting gave a hint this morning when he said the NHS is “not up for grabs” – but patients could be offered up for medical research.
The cabinet minister told Sky News that the health service is not on the table when it comes to a free trade agreement, meaning it is unlikely US companies will be given access to the market to provide drugs and clinical services.
This is something Mr Trump touted during his first term in office, though he later rowed back on the comments after a cross-party backlash in the UK.
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However, Mr Streeting suggested NHS patients could take part in US clinical trials as part of a deal in life sciences and medical research.
He told BBC Radio Four: “Absolutely the thing that the NHS can offer and the thing that the NHS can get in return is being a really strong partner for clinical trials.
“Providing access to a diverse patient cohort – so in terms of clinical trials – that means we can push the boundaries of our understanding of medical science and research… for the development of new treatments and technologies.”
He said that in return for being in the “driving seat for that groundbreaking research” we should expect British patients “are at the front of the queue for those new treatments and technologies” and “that we get a good deal on price”.
Chlorinated chicken and hormone injected beef
Another past sticking point has been food and agriculture, as the US allows chlorinated chicken and hormone-injected beef whereas the UK and EU do not.
Previous negotiations stalled because the Conservative government wouldn’t allow these products on British shelves.
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Chlorine-washing chicken is done to eliminate infection, and hormones are given to animals to boost yield, but campaigners say these practices allow lower welfare standards and poorer hygiene.
Concessions in this area would likely provoke a huge backlash, especially from farmers who already feel undercut by the free trade deals struck with Australia and New Zealand.
Environment Secretary Steve Reed recently ruled out a deal involving food, telling a press gallery lunch in parliament: “We’ve been really clear before the election and now – we won’t undercut British farmers on welfare or environmental standards.”
A Downing Street spokesperson said on Friday the UK has made clear “that we will never lower our standards” and the government is “moving at a pace to discuss sector by sector trade deals” to avoid these issues.
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Technology and AI
Focusing on technology is a strategy that has been backed by Chris Southworth, the secretary general of the International Chamber of Commerce.
He told Sky News the UK should “avoid going down the route” of a full Free Trade Agreement (FTA) as there are too many “significant points of difference” – and should focus on finance and tech instead.
He said a deal like this could be “achieved within six months as we are so aligned in these areas”, calling yesterday’s meeting a “game-changer” that could help with Chancellor Rachel Reeve’s growth agenda while benefiting the US economy too.
Crucially, this also wouldn’t impact our relationship with the EU, he said – and even provides a “big opportunity for them to be also part of this in the longer term”.
According to Bloomberg, officials are focusing on a deal on technology and artificial intelligence and a deeper partnership on space.
The UK has reportedly also told the US it could become a European hub for American companies’ data centres, outside of EU regulation, officials with knowledge of the discussions told the website.