Sir Keir Starmer has vowed to back British businesses “to the hilt” amid the growing fallout from Donald Trump’s damaging global trade war.
Days after Jaguar Land Rover (JLR) was forced to suspend shipments to the US, the prime minister visited the carmaker’s largest production plant to outline the government’s plans to support UK industry.
With British and international markets suffering historic falls, the PM acknowledged Britain was facing “challenging times”.
But, after being introduced by JLR chief executive Adrian Mardell, he told gathered employees “we have chosen to come here because we are going to back you to the hilt”.
With Range Rovers rolling off the production line behind the prime minister as he spoke, he said the visit was a “statement of intent” by the government, to show its support after carmakers were hit with a 25 per cent levy on imports to the US.
The PM said: “This is a moment for cool heads, nobody wins from a trade war, you know that.
“But it’s also a moment for urgency, because we’ve got to rise together as a nation to the great challenge of our age – and it is the great challenge – which is to renew Britain so we’re secure in this era of global instability.”
Sir Keir warned it is “not a passing phase” and we are in a “completely new world”, with the economic turbulence coming amid the ongoing defence and security fallout of Vladimir Putin’s invasion of Ukraine.
The speech came as British negotiators are locked in ongoing talks with the Trump administration about a trade deal that could see Britain exempted from the tariffs or given a lower rate.
In the speech, Sir Keir pledged to slash the number of days it takes to set up a clinical trial from over 250 to 150, in a bid to spur economic growth.
He also announced a new investment of up to £600 million in new health data research services. That came alongside the announcement of flexibility in the transmission away from petrol vehicles for carmakers to support them as they grapple with Mr Trump’s tariffs.
But, hinting at more support to come for British industry, the PM said the measures announced today are not “the extent of the turbocharging” to help businesses deal with the impact of tariffs.
He said it was not the moment to “be cowed” but rather to “seize opportunities”.
The measures announced today are “a downpayment”, he said.
Kemi Badenoch gave Sir Keir’s speech a stinging reception, accusing the PM of “not doing very much yet” in response to the trade war.
“What we want to see is a trade deal that helps lower the tariffs,” the Tory leader said.
Markets on Wall Street fell steeply as they opened before rallying, while in London the FTSE 100 hit its lowest level for a year.
Mr Trump showed no sign of changing course, urging people to “be strong, courageous and patient”, promising that “greatness will be the result”.
The president has imposed a 10 per cent tariff on US imports of British goods, along with the 25 per cent tariff on cars and separate import taxes for steel and aluminium.