🔗 Share this article

Elected officials have expressed alarm that the United Kingdom's series of deals with Washington are "built on sand." This follows revelations that a so-called "milestone" deal on pharmaceutical tariffs, which pledges zero tariffs in exchange for the NHS increasing its costs, lacks any underlying contract beyond vague headline terms published in government press releases.

An Agreement in Principle Only

The US-UK pharmaceuticals agreement, described as a "significant" achievement, is still an "statement of intent" without detailed provisions. Critics have noted that the official announcements from the UK and US governments frame the deal in sharply different terms. The British version focuses on securing "duty-free access" as a unique achievement, while the American announcement concentrates on the agreement for the NHS to pay significantly more for new medications.

"We face a genuine possibility that the UK government has agreed to terms to increase medicine costs in return for nothing more than a pledge from President Trump," stated David Henig, a trade policy analyst. "We know he has a record of not honouring his word."

Wider Concerns Amidst a Suspended Agreement

Worries have been intensified by Washington's recent decision to suspend the high-value digital accord, which was previously called "a huge leap forward" in the bilateral relationship. The US cited a failure to advance from the UK on reducing other tariffs as the reason for the pause.

In a separate development, concessions agreed to for British farmers as part of an earlier tariff deal have still not been formally signed off by the US, despite a fast-approaching January deadline. "Our understanding is that the US has failed to approve the agreed beef export quotas," said Tom Bradshaw of the National Farmers' Union.

Private Ministerial Concerns

Privately, ministers have expressed concerns that the government's agreements with the US are unstable and unpredictable. One minister was quoted as stating the series of agreements as "built on sand," while another characterized the situation as the "new normal" in the transatlantic relationship, marked by "increased uncertainty and instability."

Layla Moran, chair of the health select committee, remarked: "Perhaps most shocking than Trump's temper tantrums is the UK government's optimistic assumption that his administration is a reliable partner. The NHS is too precious to be gambled with."

A Mixed Picture of Success and Setback

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

Officials acknowledge that instability is inherent in dealing with the Trump administration. However, they maintain that the UK has achieved real benefits for businesses, such as lower steel tariffs compared to other nations. "Our achievement of 25% steel tariffs, which is lower than the rate for the rest of the world, is a concrete advantage," one official said.

Yet, delays have emerged in enacting the initial US-UK accord. Promised reciprocal agricultural allowances have yet to be finalized, and the assurance to "eliminate duties on UK metals" has not been fulfilled, with tariffs staying at 25%.

Looking ahead, the two sides have planned to recommence talks on the paused tech prosperity deal in January, following what were described as "productive" meetings between UK and US officials in Washington.