The UK government faces criticism over its handling of trade relations with the European Union, as political parties express concern about the country's trade strategy. The Liberal Democrats have accused the government of insufficient efforts to facilitate smoother trade with the EU. Meanwhile, Jonathan Reynolds, who met EU Trade Commissioner Maros Sefcovic at the World Economic Forum in Davos on Thursday, emphasized the UK's openness to following EU rules for food and farm products to regain frictionless access to European markets.
The Labour Party, which campaigned in last year's UK general election to reduce Brexit-related barriers and red tape for exports to the EU, finds itself at the center of discussions. The EU suggested that completely removing barriers in this sector could be possible if the UK adopts a process known as "dynamic alignment," which involves adhering to changing EU rules and standards. EU Trade Commissioner Maros Sefcovic expressed optimism about reaching a new agreement incorporating dynamic alignment alongside other areas of pan-European customs cooperation.
Jonathan Reynolds stated that the proposals put forth by Sefcovic, including a comprehensive veterinary agreement with dynamic alignment and a pan-European customs plan, do not violate the government's red lines. He highlighted that the government is pursuing a "twin-track strategy" on trade. This strategy involves preparing to defend against potential US tariffs on exports, following President Donald Trump's suggestion that global markets may need to pay trillions of dollars to access American markets.
The Conservative Party has expressed dissatisfaction with reports regarding a potential new UK-EU trade deal. Shadow Foreign Secretary Dame Priti Patel conveyed her concerns in Parliament, suggesting that the government is "bending the knee to the EU." In contrast, Jonathan Reynolds thanked his EU counterpart for his "incredibly positive" and "helpful" comments.
"It is time for a proper UK-EU customs arrangement so we can strengthen our negotiations with Donald Trump, cut the red tape on our businesses and grow the economy." – Sir Ed Davey
The UK's Trade Secretary confirmed that the country remains open to aligning with EU rules for food and farm products. However, this stance has not alleviated criticism from the Liberal Democrats, who question the government's effectiveness in managing trade with the EU. Party leader Sir Ed Davey asserted that the proposed agreement has not breached the government's red lines.
"These latest reports that the government might shackle us to the European Union are deeply concerning, and once again make clear that Keir Starmer and his chums are all too happy to put their ideology ahead of our national interest, no matter the cost." – Dame Priti Patel
Jonathan Reynolds reiterated that the proposed agreements align with Labour's manifesto commitments and do not revisit contentious topics such as customs unions or single markets. He emphasized the potential to enhance trade terms with the EU without reopening debates surrounding Brexit.
"No, that's part of our manifesto, an SPS agreement, a veterinary agreement." – Jonathan Reynolds
"We can improve the terms of trade with the EU in a way which doesn't revisit customs unions or single markets or the arguments of Brexit, and we can do that whilst pursuing closer trade links around the world." – Jonathan Reynolds