London could reconsider its plans to introduce digital tax in April on Google, Facebook and Amazon
Elizabeth Piper and Andrew MacAskill
After leaving the European Union in January, Johnson wants to pursue a trade deal with Washington to try to not only champion Britain’s new independence but also to put pressure on the bloc in separate talks on a future relationship. That could set the two sides on a collision course, putting additional pressure on a relationship already strained by London’s decision to allow China’s Huawei a limited role in its 5G mobile network and a proposed digital services tax.
The government said its analysis showed a deal with the US could boost transatlantic trade by £15.3bn over 15 years, and increase the size of the British economy by 0.16%. “Today’s analysis is clear: the gains from the best-case trade deal with Donald Trump will not come close to outweighing what we expect to lose from leaving the EU,” said Sarah Olney, Liberal Democrat spokesperson for international trade.
It also vowed to uphold high standards on food safety and animal welfare amid fears from farmers that the government will allow US-produced chlorine-washed chicken and hormone-treated beef into Britain.
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