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Britain will not lower its standards or water down regulation in exchange for a trade deal with the US, the chancellor has confirmed.

Rachel Reeves was speaking ahead of a pivotal meeting with her American counterpart in Washington DC.

In an interview with Sky News, Ms Reeves said she was “confident” that a deal would be reached but said she had red lines on food and car standards, adding that changes to online safety were “non-negotiable for the British government”.

The comments mark the firmest commitment to a slew of rules and regulations that have long been a gripe for the Americans.

Rachel Reeves
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Rachel Reeves spoke to Sky’s Gurpreet Narwan

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The US administration is pushing for the UK to relax rules on agricultural exports, including hormone-treated beef.

While Britain could lower tariffs on some agricultural products that meet regulations, ministers have been clear that it will not lower its standards.

More on Rachel Reeves

However, the government has been less firm with its stance on online safety.

A tech red line

The US tech industry has fiercely opposed Britain’s Online Safety Act, which was introduced in 2023 and requires tech companies to shield children from harmful content online.

In an earlier draft UK-US trade deal, the British government was considering a review of the bill in the hope of swerving US tariffs.

However, the chancellor suggested that this was no longer on the table.

“On food standards, we’ve always been really clear that we’re not going to be watering down standards in the UK and similarly, we’ve just passed the Online Safety Act and the safety, particularly of our children, is non-negotiable for the British government,” she said.

She added that Britain was “not going to water down areas of road safety”, a move that could pave the way for American SUVs that have been engineered to protect passengers but not pedestrians.

While non-tariff barriers will remain intact, it was reported on Tuesday night that the UK could lower its automotive tariff from 10% to 2.5%.

The calculations behind Reeves’s red lines


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Gurpreet Narwan

Business and economics correspondent

@gurpreetnarwan

What can Britain offer the Americans if it’s not prepared to lower its standards?

Donald Trump has previously described non-tariff barriers that block US exporters as “cheating”.

Britain does have some scope to bring down tariff rates – and Rachel Reeves suggested that this was her focus – but ours is already a highly open economy, we don’t have huge scope to cut tariff rates.

The real prize for the Americans is in the realm of these non-tariff barriers.

There has been much speculation about what the UK could offer up, but the chancellor on Wednesday gave a comprehensive commitment that she would not dilute standards.

There are many who will breathe a collective sigh of relief – from UK farmers to road safety campaigners and parents of young children.

While the government is sensitive to any potential public backlash, it also has another factor to think about.

When Ms Reeves arrives back home, she will begin preparations for a UK-EU summit in London next month.

The UK’s food and road safety standards are, in many areas, in sync with Europe, and Britain is seeking even deeper integration.

Lowering standards for the Americans would make that deeper alignment with the Europeans impossible.

The chancellor has to decide which market is more valuable to Britain.

The answer is Europe.

Back at home, the chancellor suggested that she was still open to relaxing rules on the City of London, even though global financial markets have endured a period of turmoil, triggered by President Trump’s trade war.

Reforms at home?

In her Mansion House speech last November, the chancellor said post-2008 reforms had “gone too far” and set the course for deregulating the City.

Asked if that was a wise move in light of the recent sharp swings in the financial markets, Ms Reeves said: “I want regulators to regulate not just for risk but also for growth.

“We are making reforms and we have set out new remit letters to our financial services regulators.”

Britain’s borrowing costs hit their highest level in almost 30 years after Mr Trump’s Liberation Day tariffs announcements, a stark reminder that policy decisions in the US have the power to raise UK bond yields and in turn, affect the chancellor’s budget, dent her already small fiscal headroom and derail her plans for tax and spend.

However, the chancellor said she would not consider adapting her fiscal rules, which include a promise to cover day-to-day spending with tax receipts, even if it gives her more room to manoeuvre in the face of volatility.

“Fiscal rules are non-negotiable for a simple reason, that Britain must offer under this government fiscal and financial stability, which is so important in a world of global uncertainty,” she said.

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UK economy grows more than expected, according to official figures

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UK economy grows more than expected, according to official figures

The UK economy showed strong growth in the first three months of the year, according to official figures.

Gross domestic product (GDP) – the standard measure of an economy’s value – grew 0.7% in the first quarter of 2025, the Office for National Statistics said.

The rise is better than expected. An increase of just 0.6% was anticipated by economists polled by the Reuters news agency.

Money blog: Reaction as UK economy grows more than expected

It’s significantly better than the three months previous, in which a slight economic expansion of just 0.1% was reported for the final quarter of 2024.

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The ONS also said there was a small amount of growth last month, as GDP expanded 0.2% in March, which similarly beat expectations.

No growth at all had been forecast for the month.

How did the economy grow?

A large contribution to high GDP growth was an increase in output in the production sector, which rose 1.1%, driven by manufacturing and a 4% increase in water supply, the ONS said.

Also working to push up the GDP figure was 0.7% growth in the biggest part of the UK economy – the services industry.

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‘Here’s the concern with GDP figures’

Wholesale, retail and computer programming services all performed well in the quarter, as did car leasing and advertising, the ONS said.

It shows the economy was resilient, as the country headed into the global trade war sparked by President Trump’s so-called ‘liberation day’ tariff announcement on 2 April.

Welcome political news, for now

The data is welcome news for a government who have identified growing the economy as its number one priority.

Chancellor Rachel Reeves is taking the figures as a political win, saying the UK economy has grown faster than the US, Canada, France, Italy and Germany.

“Today’s growth figures show the strength and potential of the UK economy, ” she said.

“Up against a backdrop of global uncertainty, we are making the right choices now in the national interest.”

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Such GDP numbers may not continue into April as businesses and consumers were hit with a raft of bill rises, and Mr Trump’s tariffs fired the starting gun on a global trade war.

Last month, water, energy and council tax bills rose across the country while employers faced higher wage costs from the rise in their national insurance contributions and the minimum wage.

But above-inflation wage growth and fading consumer caution could continue to boost the economy.

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Assisted dying law ‘unworkable, unaffordable and naive’ says partnership of UK’s leading social care groups

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Assisted dying law 'unworkable, unaffordable and naive' says partnership of UK's leading social care groups

A partnership of the country’s leading social care and end of life organisations has told Sky News of their deep frustration at being excluded from important discussions around the assisted dying debate – describing the proposed change to the law as “unworkable, unaffordable and naive”.

The Coalition of Frontline Care for People Nearing the End of Life is worried about the impact of introducing assisted dying will have on their three million-strong workforce, which they say is on the frontline for delivering care to terminally ill adults.

The partnership includes The Gold Standards Framework Charity (GSF), National Care Forum (NCF), British Geriatric Society (BGS), Care England (CE) and the Community Hospital Association.

It submitted evidence at the committee stage of the Terminally Ill Adults (End of Life) Bill, but was not called to give evidence

Professor Martin Vernon, consultant geriatrician and spokesperson for ethics and law at the British Geriatric Society, told Sky News: “This is a huge problem for us.

“The majority of people this law will impact on are going to be older people with complex needs, and there has been virtually no engagement in the consultation process around this proposed legislation.”

Professor Martin Vernon, Consultant Geriatrician and spokesperson for British Geriatric Society
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Professor Martin Vernon says the majority affected by the bill will be older with complex needs

Professor Vernon and his coalition colleagues are especially concerned about sick and vulnerable adults being pressured into making choices.

More on Assisted Dying

“We then may see, increasingly, older people with life-limiting diagnoses like dementia, like frailty, feeling the need to opt for assisted dying or indeed feeling coerced either by their circumstances or societally,” he added.

“This may place a heavy burden on some individuals to choose assisted dying when, actually, the creation of better alternatives – supportive care, and palliative care to enable them to have a dignified and comfortable last few years of life should be the way to go.”

Caroline Southgate, founder and managing director of home care company Doris Jones, told Sky News there was simply not enough information about the impact assisted dying would have on her staff.

Caroline Southgate, Managing Director, Doris Hill Limited
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‘The way that the bill is presented doesn’t give us enough information,’ Caroline Southgate says

“I think we are concerned that we don’t have enough clarity about how we would train staff, how we support people if they make that decision,” she said.

“At the moment, the way that the bill is presented doesn’t give us enough information to know how we would deal with those issues.

“If someone chooses this route, all I need to know is what’s my role, where are my boundaries?”

Mrs Southgate is also worried about her staff being accused of coercion. Because of the nature of their work, home carers build up a strong bond with the people they tend to, often seeing them multiple times a day.

And sometimes, they might be the only contact their service users have.

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“I think we’ve got lots and lots of experience of being in homes with people, dealing with families, who trust us to look after the person who needs care and support at home,” she added.

“I need to know that we would be insured and protected should a family decide that one of our staff was accused of coercing someone, or the other way around, talking someone out of a situation.

“We really need a lot more information to make that safe for us and to make sure that our staff are really well supported.”

Katy Betz works for Mrs Southgate. She is a trained nurse originally from Germany but has lived and worked as a carer in England for over twenty years.

Kate loves what she does, but echoes the same concerns expressed by her employer: Assisted dying could change the relationship she has with her service users.

Driving along Southend’s seafront, she explains there is little else she and her care colleagues talk about these days.

Katy Betz, Carer, Doris Hill Limited
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Katy Betz tells Sky News the debate on assisted dying is all she and her colleagues talk about

“It is important”, she says. “Even within my friendship group, everyone has got a different opinion, a strong opinion actually.

Katy says she needs more detail: “More training, safeguarding – what do we do? Where do we go? Who needs to be informed about the client’s decision?

“You are there to make their life, and their end of life, bearable and as good as possible. I can’t explain how I deal with it, but I think you just have to be born to deal with it.”

Katy is on her way to see John and Brenda Barber for one of their daily visits. Brenda is 85 and John is 90.

Paul and Brenda

John took Brenda on their date to a jive dance in Southend.

He was twenty years old and had just returned from army service in Gibraltar. Brenda was just sixteen.

They have been inseparable ever since.

John’s arthritis makes every day tasks almost impossible, and he says if he did not have a carer like Katy, his life would be intolerable.

Paul Barber, Relies on home care
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Paul Barber said his life would be intolerable without Katy Betz

He says: “It’s becoming increasingly difficult with different parts of my body. My wife and I are together and that’s what we want. We would never want to be separated.”

There’s a pause while he reflects on that thought. “That’s despite the bickering,” he says before breaking into a mischievous laugh.

The bond that is shared between Katy, John and Brenda is clear to see. They are worried that this might change irreversibly if the assisted dying law is passed.

Katy looks after Paul and Brenda

The Terminally Ill Adults (End of Life) Bill returns to the House of Commons on Friday, where it will face greater scrutiny.

Earlier this week, two Royal Colleges, Physicians and Psychiatrists, withdrew support for the bill, saying it was “not fit for purpose”.

But campaigners in favour of assisted dying have told Sky News the bill includes more protections and safeguards for all dying people than any other jurisdiction where the choice is legal.

Sarah Wootton, chief executive for Dignity in Dying, said: “MPs voted by a clear majority to progress Kim Leadbeater’s Bill in November because they recognised that the blanket ban on assisted dying is failing dying people and their families.

“Every year, dying people are forced to endure unbearable pain, despite good care, travel overseas to die alone, or take matters into their own hands, often dying violent and lonely deaths without support.

“This Bill – already hailed as the strongest in the world – has been strengthened even further during committee stage, with amendments accepted to involve a range of skilled professionals in every application, specific training requirements around coercion, and that assisted dying can only be discussed within the context of all end of life options.”

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Sir Keir Starmer in Albania to tackle ‘revolving door’ of migration

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Sir Keir Starmer in Albania to tackle 'revolving door' of migration

Sir Keir Starmer is in Albania to announce an expanded crackdown on migrant smuggling gangs in the Balkans – a key staging post on the route to Britain.

In the first official visit to the country by a UK prime minister, he hopes to reinforce this week’s tough message about slashing levels of both legal and illegal migration.

Sir Keir is relying on “smashing the gangs” as the government’s policy to tackle small boat crossings, which remain at a record high this year; passing the 10,000 mark last month.

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But working with officials in Albania is seen as a success story in stopping migration at source, partly due to the actions of the previous Conservative government which Sir Keir will build on.

In 2022, arrivals from Albania accounted for around a third of all small boat arrivals – a higher number than from any other country.

Over the past three years, those numbers have been cut by 95%. The number of Albanians returned to their home country has also more than doubled to 5,294 last year, from just over 2,000 two years’ earlier.

More on Migrant Crossings

The prime minister will join Edi Rama, prime minister of Albania since 2013, at the Port of Durres on Thursday to see UK-backed efforts to tackle smuggling gangs and the criminal activities that fund them.

A programme to detect migrants attempting to travel using fake or stolen documents will be expanded, with the UK donating new anti- forgery machines. The government will also invest a further £1m in DNA technology to detect serious criminals on the streets of the UK.

Sir Keir is also expected to express concerns about a “revolving door effect” in which a migrant is returned home, only to evade law enforcement and leave the country again. He will support programmes in northern Albania – where migrants come from – to reintegrate young people and provide them with employment opportunities, the government said.

The prime minister will announce that the joint migration taskforce, with Albania and Kosovo, signed at the end of 2022, will be expanded to include North Macedonia and Montenegro.

The National Crime Agency will share intelligence with law enforcement agencies in these countries and deploy UK funded drones to detect gangsters funnelling migrants through the Western Balkans corridor and on to the UK.

The countries of the Western Balkans – including Serbia, whose government signed an agreement with Sir Keir last year – have for around five years been the key corridor to Europe for migrants from the Middle East, Asia and Africa.

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Sir Keir will say: “Global challenges need shared solutions, and the work the UK and Albania are doing together is delivering security for working people in both countries.

“Our joint work to deter, detect and return illegal migrants is further proof that intervening upstream to protect British shores and secure our borders is the right approach.

“Every step we take to tackle illegal migration overseas, cripple the criminal networks that facilitate it and stem the finance streams that fund it is delivering safer streets in the UK, and reducing the strain on taxpayer funded services.”

On Friday the prime minister will attend the European Political Community summit in the capital Tirana, a forum for European leaders to discuss security challenges in the wake of the war in Ukraine.

It’s expected to be a chance for the UK to discuss key points of a forthcoming defence pact with the EU and the terms of a “reset” of relations ahead of a summit in London next Monday.

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