🔗 Share this article

Ministers and senior MPs have raised concerns that the United Kingdom's recent agreements with Washington are "lacking a solid foundation." This comes after revelations that a so-called "milestone" deal on drug pricing, which promises zero tariffs in exchange for the NHS paying more, lacks any underlying contract beyond vague headline terms outlined by government press releases.

Lacking Legal Footing

The deal on drug tariffs, promoted as a "significant" achievement, remains an "statement of intent" without a signed legal text. Observers point out that the press releases from the UK and US governments present the deal in sharply different terms. The British version celebrates securing "duty-free access" as a singular success, while the American announcement highlights the commitment for the NHS to pay significantly more for new medications.

"The danger exists that the UK government has promised concessions to increase medicine costs in return for nothing more than a pledge from President Trump," said David Henig, a trade expert. "We know he has a tendency for not honouring his word."

Wider Concerns Amidst a Suspended Agreement

Worries have been amplified by Washington's move to put on ice the high-value digital accord, which was previously called "a generational step-change" in the bilateral relationship. The US claimed a lack of progress from the UK on lowering trade barriers as the reason for the pause.

In a separate development, concessions promised for British farmers as part of an initial accord have still not been formally signed off by the US, despite a looming January deadline. "We have been informed that that the US has not finalized the agreed beef export quotas," said Tom Bradshaw of the National Farmers' Union.

Anxiety Behind Closed Doors

Behind the scenes, ministers have voiced worries that the government's US-UK accords are unstable and unpredictable. One minister was quoted as stating the series of agreements as "resting on shaky ground," while another described the situation as the "prevailing condition" in the transatlantic relationship, marked by "increased uncertainty and instability."

Layla Moran, a senior MP on the health committee, remarked: "Perhaps most shocking than Trump's temper tantrums is the UK government's naive belief that his administration is a reliable partner. The NHS is of vital importance."

Government Downplays Risks, Points to Gains

Government figures have downplayed the risk of the US withdrawing from the pharmaceuticals deal. One source suggested the US pharmaceutical industry itself had been pushing for the agreement, wanting clarity on imports and pricing, making it less abstract than the paused tech deal.

Officials acknowledge that volatility is part and parcel of dealing with the Trump administration. However, they maintain that the UK has achieved real benefits for businesses, such as reduced duties on automobiles compared to other nations. "The fact we have 25% steel tariffs, which is better than the rate for the rest of the world, is a solid gain," one official said.

However, problems have arisen in carrying out the May tariff agreement. Promised reciprocal agricultural allowances have failed to be approved, and the assurance to "eliminate duties on UK metals" has remains unmet, with tariffs fixed at 25%.

As negotiations continue, the two sides have agreed to resume talks on the suspended digital agreement in January, following what were described as "very positive" meetings between UK and US officials in Washington.