Britain is set to announce a trade deal with the US to slash the impact of Donald Trump’s tariffs today.
After weeks of negotiations between Westminster and Washington, sources in No10 have hinted the bare-bones outline of a deal has been agreed, according to reports.
Trump had earlier announced he would be confirming a major trade deal in the Oval Office at 10am local time (3pm UK time).
Taking to his Truth Social page, Trump wrote the deal would be held with "representatives of a big, and highly respected, country".
Starmer and Trump
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A "heads of terms" agreement has reportedly been agreed, according to Sky News, which the broadcaster understands is a "substantive" step towards the full deal.
Speaking to GB News this morning, Defence Secretary John Healey declined to comment, saying the Government wanted to give the negotiators "room to breathe".
Trade talks with the US have been "continuing at pace" and the Prime Minister will provide an update "later today", a No10 spokeswoman has said.
The spokeswoman continued: "The Prime Minister will always act in Britain’s national interest – for workers, for business, for families.
"The United States is an indispensable ally for both our economic and national security. Talks on a deal between our countries have been continuing at pace and the Prime Minister will update later today."
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Donald Trump has made tariffs the focus of his economic agenda REUTERS
American imports of Chinese goods have already seen a sharp decline following the imposition of tariffsGETTYThe news of a trade deal comes as US and Chinese officials prepare to hold talks in Switzerland on Saturday, which could mark the first step in resolving a potentially damaging trade war between the world's top two economies.
Trump's top officials have engaged in a series of meetings with trading partners since the president on April 2 imposed a 10 per cent tariff on most countries, along with higher "reciprocal" tariff rates for many trading partners, though those rates were later suspended for 90 days.
Britain was not among the countries hit with additional tariffs, due to the fact it imports more from the US than it exports there.
A UK official said on Tuesday that the two countries had made good progress on a trade deal that would likely include lower tariff quotas on steel and cars.
Trump is set to make an announcement later today
ReutersTrump has also imposed 25 per cent tariffs on autos, steel and aluminium, 25 per cent tariffs on Canada and Mexico, and 145 per cent tariffs on China.
Speaking this morning, Healey told Times Radio: "It’s certainly true that the US is an indispensable ally for the UK, both on economic and national security grounds. It’s also true that since the Prime Minister visited the White House in February we have been in detailed talks about an economic deal.
"But I have to say, throughout that period, ministers like me have been keen to give the negotiations the space to get the best possible deal for the UK.
"So, we just haven’t been giving a running commentary on developments or timelines, so I’m not going to start now."
