LCCI urges new government to commence urgent trade negotiations with the US after latest tariff announcement

Friday 24 July 2026

The US has introduced new tariffs to replace its current levies on UK imports to the US which expired on Friday 24th July after being struck down by a Supreme Court ruling. 

London Chamber of  Commerce and Industry (LCCI) wishes to reassure members that this will mean no change for most London businesses who sell goods to the US; duties will remain at 10% plus the previously agreed “Most-Favoured Nation” duty rates. However, for some of the capital’s businesses, it will affect their international competitiveness with Europe as the EU has a 10% all-inclusive deal for tariffs on its goods, whereas the UK faced 10% tariffs on top of any duties applied to individual products.

Turning to specific sectors:

• Tariffs have been removed on UK whisky.
• Steel and aluminium products face duties of 25% (compared to 50% for many nations).
• Pharmaceutical and automotive tariffs remain unchanged under the Economic Prosperity Deal.

 Karim Fatehi OBE, CEO of the London Chamber of Commerce said:

“The UK and US have a long-standing trading relationship that has weathered many storms. Today’s announcement was largely expected and will not affect the day-to-day operations of most London exporters, but these announcements do not help business confidence when firms are already struggling. Some sectors have also lost their competitive edge with the EU, who have a more favourable “all-inclusive” 10% tariff deal, so we urge the new government to seek a similar agreement with the US as a top priority.”

“LCCI also remains concerned about the US administration’s investigation into digital service taxes, which risks London’s status as the tech hub of Europe. Political uncertainty has a chilling effect on the economy, making business leaders reluctant to invest, hire and grow as they hold back reserves to deal with unexpected costs.”

“London businesses are resilient and are diversifying their exports, but the US is our single biggest trading partner. We are calling on the government to continue urgent trade negotiations to restore the strong, competitive trading relationship that benefits both of our great nations. We also engage regularly with the US Embassy in London and will make the case for a better deal to our US counterparts”

ENDS

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