Chief Secretary to the Treasury Darren Jones has declared that the era of globalisation is over, following the introduction of new import tariffs by former US President Donald Trump.
Speaking to the BBC, Jones said, “Globalisation as we’ve known it for the last couple of decades has come to an end.” His comments came after Prime Minister Sir Keir Starmer indicated plans for state intervention to shield UK businesses from the economic impact of Trump's tariffs. The UK is among several nations affected by a new 10% baseline import duty, while trade talks to reduce tariffs continue.
Jones emphasized that the shift in global trade dynamics requires the UK to strengthen ties with allies and invest in its domestic economy. He rejected claims that the government was scrambling for solutions and noted that Labour had been working on an industrial strategy since it was in opposition. While he didn’t confirm if the government would accelerate its spending review and industrial plans, he hinted that an announcement from the prime minister was imminent.
Despite the sweeping tariffs announced by Trump—dubbed “Liberation Day”—which have prompted retaliatory actions from countries like China and Canada, the UK is taking a calmer approach. Rather than imposing counter-tariffs, the UK is prioritizing a trade deal with the US. Jones said the UK’s diplomatic strategy aims to secure a more favorable outcome than other countries.
Conservative leader Kemi Badenoch, however, challenged the idea that globalisation is over. She argued the world is seeing "fragmentation," not the end of global trade, and highlighted that the UK still maintains strong international trading relationships.
Badenoch also urged the Labour government to resume negotiations based on the trade deal initiated by former Prime Minister Boris Johnson with Trump during his previous term. She said significant progress had already been made, and picking up the deal could help remove harmful tariffs.
“These tariffs will disrupt UK businesses and impact government revenues,” she warned. “Labour’s decisions have worsened the situation, and it’s the public who will feel the effects.” Photo by Lauren Hurley / No 10 Downing Street, Wikimedia commons.