The UK is seeking a way to participate in the European Union’s proposed “Made in Europe” regime, which would use public procurement rules to favour industries within the single market. The Guardian’s editorial says the measures could create new barriers for British companies unless an agreement is reached.
Andy Burnham is expected to conclude a treaty with the EU later this month, at a summit with European Commission President Ursula von der Leyen. The planned agreement covers cooperation in several areas, including removing customs barriers for agricultural goods, a youth-mobility programme and linking the UK to the EU’s carbon emissions trading scheme.
The talks form part of Prime Minister Keir Starmer’s intended reset of relations with the bloc. Burnham has called for closer ties, but remains bound by Labour’s manifesto commitment not to rejoin the single market or customs union before a general election.
The proposed Industrial Accelerator Act is likely to shape what further cooperation is possible. The package is intended to shield European industries from competition the bloc considers unfair, particularly from China. The editorial also points to wider trade tensions, including China’s trade surplus and Donald Trump’s tariff policies.
The UK may be recognised as a “trusted partner”, according to the editorial, but it says that status would require negotiation rather than follow automatically from Labour’s stated position. Without an agreement, British carmakers and other industries could face substantial new trade barriers.
The Guardian argues that the issue highlights the disadvantages of being outside the single market, while warning that securing closer ties will involve difficult bargaining.
Sources: The Guardian Business.