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U.S. Treasury Secretary Scott Bessent takes questions from reporters at the Institute of International Finance (IIF) Global Outlook Forum on sidelines of the IMF and World Bank’s 2025 annual Spring Meetings in Washington, D.C., U.S., April 23, 2025.
Elizabeth Frantz | Reuters
British finance minister Rachel Reeves met U.S. Treasury Secretary Scott Bessent on Friday to discuss a trade deal, shortly after saying that improving business ties with the European Union was "arguably even more important."
Reeves held discussions with Bessent at a gathering of world finance chiefs at the International Monetary Fund that has been dominated by concerns about U.S. President Donald Trump's import tariffs.
"The UK-U.S. relationship has delivered prosperity for businesses and working people on both sides of the Atlantic," Reeves said in a brief statement on social media.
"Today I met with Secretary Scott Bessent to discuss the UK-U.S. economic prosperity deal and our goal of reaching an agreement that is in both our national interests," she added.
The U.S. Treasury said in a readout that Bessent noted the need for progress on fair and reciprocal trade and that the two also "held positive discussions on taxation, financial innovation, and technology partnerships."
Britain, like many other countries, wants to ease the impact of Trump's tariffs - which would be particularly high for British car and metals exporters - by striking an economic agreement with his administration that could also foster more tech investment.
Reeves sought to show Trump's team during her trip to Washington that she shares the president's concerns about the world economy - in particular China's export-heavy model - but she has also said that high tariffs are not the answer.
At the same time, Reeves and Prime Minister Keir Starmer are hoping to remove some post-Brexit trade barriers with the EU. The United States is Britain's single biggest trading partner but the EU as a bloc buys more of the country's exports.
"I understand why there's so much focus on our trading relationship with the U.S., but actually our trading relationship with Europe is arguably even more important, because they're our nearest neighbours and trading partners," Reeves told the BBC.
Earlier this week, she said Britain would not rush to secure a deal with Washington and ruled out making concessions on food standards which could jeopardise London's ability to boost food exports to the EU.
Reeves met German Finance Minister Joerg Kukies earlier on Friday in Washington to prepare for a gathering of European leaders that will seek to improve ties between Britain and the bloc which were strained by the 2016 Brexit vote.
"We discussed the upcoming UK-EU Summit in May, marking an important moment in the reset between the United Kingdom and the European Union," Reeves said.
She and Starmer promised voters last year they would speed up Britain's economy which the IMF this week said looked set to grow by 1.1% in 2025, still faster than in Germany and France but down from a previous forecast of 1.6% partly due to the hit to the world economy from Trump's tariffs.
Reeves also held talks on Friday with China's finance minister Lan Foan after this week announcing tougher customs controls and strengthening Britain's anti-dumping system, which could impact Chinese exporters.
"Our clear-eyed reengagement with China ensures we grasp opportunities when it's right for the UK," she posted on X, adding the two sides would continue cooperation.
English (US)