Exclusive

Kemi Badenoch launches bid for three new mini US trade deals in Brexit election boost

13 February 2024, 18:00

Kemi Badenoch will launch a fresh round of talks for three new mini trade deals with American states
Kemi Badenoch will launch a fresh round of talks for three new mini trade deals with American states. Picture: Getty
Natasha Clark

By Natasha Clark

Trade chief Kemi Badenoch will launch mini trade deal talks with another three American states to try and secure a pre-election Brexit boost.

Listen to this article

Loading audio...

Ministers are kicking off discussions with New York, Colorado and Oregon in the coming weeks, LBC can reveal.

New York's huge £2trillion dollar economy could be opened up to British markets if a deal if signed in the coming months.

But a bumper US-wide deal is still off the table for now.

Seven mini-deals have already been struck with individual states to try and boost trade links.

Those include links with Indiana, North Carolina, South Carolina, Oklahoma, Utah, Washington, and Florida.

They have a combined GDP of £3.4trillion - bigger than France - and imported £7.3billion of British goods since the deals were signed.

A government official said: “Joe Biden has taken the option of a US trade deal off the table so we're targeting individual states instead.

“Some of these states have bigger GDPs bigger than major European countries and their economies fit perfectly with what UK firms are looking for.

“Take our biggest to date - Florida - which has a massive aerospace industry as the home of NASA, and the UK aerospace industry is eager to do more business with them.

“This is just the start, and with more state-level discussions starting all the time, we're using our Brexit freedoms to build new trade relationships with the US.”

Rishi Sunak wants to do a trade deal with India before the election
Rishi Sunak wants to do a trade deal with India before the election. Picture: Getty

The UK has all-but given up hope of striking a US deal under President Joe Biden, who has made it clear he has other priorities.

It comes as Ms Badenoch signed a new trade agreement with Nigeria today in a bid to boost investment in Britain - the first with an African nation.

And ministers are confident that they will be able to strike the long-awaited deal with India by the time they and the UK head to the polls this year, despite reports they are pressuring them to water an agreement down.

The next few weeks are expected to be crucial for talks as India will vote in April.

One source said: "Not everyone will get what they want, but we think we can get it over the line."

Many Tory MPs see Ms Badenoch - a leading Brexiteer on the right of the party - as a potential successor to Rishi Sunak if he loses the election.

It has been held up repeatedly despite Boris Johnson's promise to get it done by Diwali in 2022 - partly thought to be over issues of migration rules for workers and businesses.

Kemi Badenoch: 745,000 net migration figure 'certainly is far too high'

But the Government has insisted that migration will not play a part in any deal.

Thirteen rounds of talks have already taken place, but Delhi is stepping up the pressure to get it over the line in time for their own elections.

Remaining issues are thought to include differences over Scotch whiskey and car tariffs, and pharmaceutical products.

India is also reported to be concerned about their workers paying National Insurance if they come here on business visas - despite having no access to pensions.

They are also said to be pushing the UK for guarantees that Indian students can stay in the UK for two years after graduation - which could spark another huge row over migration.

Labour's shadow business and trade secretaries visited India earlier this week - the party has said they will attempt to seal a deal if Rishi Sunak cannot do so before the election.

More Latest News

See more More Latest News

The former Deputy Foreign Secretary said: “Many countries in Europe are simply not spending anywhere near, in percentage terms, what America is spending.

UK needs to ‘spend less on welfare and more on defence’ to support Ukraine, former Deputy Foreign Secretary tells LBC

Breaking
Craig and Lindsay Foreman

British couple detained in Iran pictured for the first time as family break silence on 'distressing situation'

The Jet2 plane was forced to divert.

Jet2 plane bound for UK makes emergency landing after passenger dies on board

he Philadelphia Eagles celebrate in front of the Philadelphia Museum of Art during the Philadelphia Eagles Super Bowl Championship Parade on February 14, 2025

Two women shot and injured during Philadelphia Eagles Super Bowl victory parade, police say

Social media footage showed a man being kicked on the ground by his knife-wielding attacker.

Two charged by police after shock footage shows man kicked and spat at by knifeman after ‘burning Koran’ in London

Jannik Sinner

World tennis number one Jannik Sinner handed three-month ban for doping

Keith Edun, 47, used the messaging app “Kik” to spread vile images of children

Predator who encouraged man to rape a baby after sharing vile images of children online is jailed for 21 years

President of Ukraine Volodymyr Zelensky speaks during the 61st Munich Security Conference on February 15, 2025 in Munich, Germany.

Zelenskyy calls for creation of ‘European army’ as he warns Russia 'will pull Europe apart' if not defeated

The woman who said she was raped by rappers and business moguls Jay-Z and Sean "Diddy" Combs in 2000, when she was 13, has dropped her civil lawsuit against both men.

Woman who accused Jay-Z and Sean ‘Diddy’ Combs of raping her when she was 13 drops lawsuit

Liam Payne died last Wednesday.

One Direction star Liam Payne was 'sectioned' after near-fatal overdose months before death, close friend claims

Hamas hands over 3 Israeli hostages in the Gaza Strip to Red Cross

Israeli hostages paraded on stage before being freed as four Palestinian prisoners released in 'critical condition'

uk british national lottery euromillions ticket with picks

Winning numbers revealed as single UK EuroMillions ticket holder scoops massive £65million Valentine’s Day jackpot

The Three Horseshoes pub in Knockholt

Manhunt launched after woman seriously injured at village pub in Valentine's Day 'shooting'

Rob and Lindsey Burrow a few weeks before he died

Rob Burrow's wife reveals heartbreaking moment she knew rugby league star 'couldn't go on' with MND struggle

Axel Rudakubana will be 'target number one' in prison

Southport killer Axel Rudakubana's sentence won't be referred to Court of Appeal despite claims it's 'unduly lenient'

The damaged shield

'Risk of radioactive leak' after Russian 'high explosive' drone hits Chernobyl, causing 'significant damage'