UK Prime Minister Keir Starmer on Sunday declared that the United Kingdom is prepared to deploy direct state intervention to protect British industries from the shockwaves of sweeping tariffs imposed by US President Donald Trump.
Writing in The Sunday Telegraph, Starmer said the world had entered a new era where the “old assumptions can no longer be taken for granted” following the United States’ decision to slap 10 percent tariffs on UK goods.
“The world as we knew it has gone,” Starmer wrote, warning that the emerging global landscape will be shaped less by rules and more by deals and strategic alliances.
“It demands the best of British virtues — cool heads, pragmatism and a clear understanding of our national interest,” he added.
While affirming that “nobody wins from a trade war,” Starmer said his government’s immediate strategy was “to keep calm and fight for the best deal.” However, he also made clear that a UK-US trade agreement would only be pursued “if it is right for British business.”
“All options remain on the table,” he said in reference to potential responses to Washington’s move.
The economic fallout from the tariffs was already visible by the weekend. British automaker Jaguar Land Rover announced Saturday that it would “pause” all vehicle shipments to the US market in April as it evaluated “the new trading terms.”
In light of the shifting global trade dynamics, Starmer signalled a policy pivot toward more assertive government action, promising enhanced support for domestic industries.
“This week we will turbocharge plans that will improve our domestic competitiveness,” he wrote, hinting at an upcoming industrial strategy package.
“We stand ready to use industrial policy to help shelter British business from the storm. Some people may feel uncomfortable about this… but we simply cannot cling on to old sentiments when the world is turning this fast,” he said.