A senior economic adviser to U.S. President-elect Donald Trump has suggested Britain to align itself with the United States on trade rather than pursue closer ties with the European Union.
Stephen Moore, the aide in question had while speaking to BBC radio, remarked the EU had a “socialist model” therefore the U.S. would be less interested in a free trade deal with Britain if the government focused its economic relations with the EU ahead of those with the U.S.
In Moore’s words;
“The UK is kind of caught in the middle of these two forms of economic model and I believe that Britain would be better off moving towards more of the American model of economic freedom. And if that were the case, I think it would spur the Trump administration’s willingness to do the free trade agreement with the UK.”
This is as the Bank of England Governor, Andrew Bailey, had on Thursday urged Britain’s new Labour government to rebuild and strengthen ties with the EU.
Although the government has ruled out rejoining the EU’s single market or customs union, Prime Minister Keir Starmer had remarked that he wants to improve trade ties and diplomatic relations with the bloc.
But Finance minister Rachel Reeves, who spoke just before Bailey at the same event, said Britain needed to “reset” its relationship with the EU, and that she also looked forward to working closely with Trump to strengthen trade ties.
While Bailey did not directly refer to the U.S. election in his speech, policymakers globally are still coming to terms with Trump’s victory and the prospect of a possible double-digit tariffs on goods imported by the United States.
