MP outlines why a UK-US trade deal will start to repair devastated economies

MP outlines why a UK-US trade deal will start to repair devastated economies

Ben Bradley, the MP for Mansfield, wrote on the website 1828, a neoliberal think tank which hosts parliamentraians views for economic liberty. Mr Bradley believes that the pandemic has highlighted that the UK needs more trade partners as it moves away from the EU.

He wrote: “COVID-19 highlighted the fact that the UK is too dependent on a small number of countries for our imports.

“Equally, UK exporters are highly dependent on the EU.

“As Brexit made clear, people across the country want us to branch out and not be so wholly dependent on Europe for our economic futures.

“We shouldn’t be limiting ourselves – instead, we should diversify our trade to make the UK economy more resilient.”

READ MORE: Grim statistics reveal coronavirus has decimated US economy

He continues by saying that a deal with the US would free up more money for the countries recovery post pandemic.

Mr Bradley said: “If we are to truly “level up” our towns, we need to take bold action and lead the way in setting transparent, high standards for international trade.

“We can build a platform for businesses to grow and expand after Covid-19.

“(…) Analysis by the Department for International Trade shows that a US deal could lead to a £15 billion increase in trade, deliver lower tariffs across produce, including beef and cheese, and create export opportunities, cheaper input costs and higher prices for British produce.

“It’s an opportunity we should grasp.”

It comes as International Trade Secretary Liz Truss announced the UK and US have begun “ambitious” post-Brexit free trade talks.

Ms Truss said a trade agreement would help the UK and US economies “bounce back” following the COVID-19 pandemic.

She said: “We want to strike an ambitious deal that opens up new opportunities for our businesses, brings in more investment and creates better jobs for people across the whole of the country.

“The prime minister has been clear that we champion free trade and this deal will make it even easier to do business with our friends across the pond.

“As we sit down at the negotiating table today be assured that we will drive a hard bargain to secure a deal that benefits individuals and businesses in every region and nation of the UK.”

The UK’s GDP is expected to see a reduction of 2.5 percent for the second quarter of 2020.

A Bank of England scenario also sees the UK GDP falling 14 percent this year, its worst annual slump for more than 300 years.

It also predicts the jobless rate hitting 8 percent as the coronavirus crisis continues to ravages the economy.

The Bank released its first work on the potential impact of the lockdown measures to limit the spread of COVID-19 as its monetary policy committee left interest rates unchanged at their level of 0.1 percent.

Published at Mon, 11 May 2020 03:30:00 +0000