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The UK and US have hailed a “fantastic, historic day” after striking a landmark trade deal.

In President Donald Trump’s own words, this has been years in the making “but it got there with this prime minister”.

But while Sir Keir Starmer will be no doubt celebrating, the devil is in the detail.

Politics latest: Trump says UK-US trade deal is ‘great honour’

President Trump pictured alongside the UK ambassador to the US, Lord Mandelson, in the Oval Office. Pic: AP
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President Trump pictured alongside the UK ambassador to the US, Lord Mandelson, in the Oval Office. Pic: AP

Here, Sky News looks at what has been announced.

Not a full trade deal

The first thing to note is that this isn’t a free trade deal in the conventional sense, but one that focuses on specific sectors – notably cars, steel and agriculture.

It has led to the reduction in some, but not all, of the tariffs Mr Trump imposed on the UK as part of a sweeping package of global measures last month. This included a 10% levy on all UK exports and a higher charge on steel, aluminium and cars.

Tariff exemptions on cars and steel

As a result of Thursday’s deal, car export tariffs will be reduced from 27.5% to 10%, to match Mr Trump’s baseline levy.

The lower car rate applies to the first 100,000 vehicles exported from the UK to the US each year, which Downing Street said is almost the total the UK exported last year.

British carmakers were intensely worried about the impact of tariffs on their industry, so it is hoped the reduction will save thousands of jobs.

Separately, the UK steel industry – on the brink of collapse just a few weeks ago – now won’t face any tariffs after the US agreed to scrap the 25% rate for the UK.

A 10% levy remains on all other goods coming to the US from the UK, which will be the focus of the next stage of discussions, it is understood.

At respective news conferences on Thursday, Sir Keir said the deal has resulted in “jobs saved, jobs won but not job done”, while Mr Trump said the deal was “comprehensive” but he’d like to see it “go further”.

The prime minister said the new measures will save thousands of jobs in the car and steel industries, which were threatened by Mr Trump’s tariffs.

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Starmer admits ‘we would like to go further in relation to tariffs’.

New deal on beef – but no drop in standards

The UK has had to make concessions on agriculture in exchange for the tariff exemptions, with the deal including new reciprocal market access to beef.

This means US farmers will have access to the UK for the first time, and UK farmers will have access to the US, at a tariff-free quota of 13,000 metric tonnes.

Business Secretary Jonathan Reynolds said this is a fraction of the 35,000 tonnes agreed as part of the Tories’ trade deal with Australia, which rises to 110,000 metric tonnes over time and which farmers said undercut them.

Crucially, the US deal has not involved a weakening of UK food standards on imports, which has previously been a red line in negotiations.

That means hormone-injected beef (and chlorinated chicken) still won’t be allowed on UK shelves, a move that has been welcomed by farming groups.

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Ethanol

The UK has also agreed to remove the tariff on ethanol – which is used to produce beer – coming into the UK from the US, down to zero.

US commerce secretary Howard Lutnick said that together with the beef deal, this would create five billion dollars in “opportunity for American exports”.

Aerospace

Mr Lutnick also said the US has agreed to drop tariffs on Rolls-Royce engines and other plane parts from the UK.

In return, he said there was “going to be an announcement” by an airline company in the UK that they are “buying ten billion worth of Boeing planes later today”.

A government source said that was a “commercial deal” but “we have a commitment from the US that when it comes to the aerospace industry, UK exporters would face a 0% tariff”.

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What wasn’t in the deal?

Health Secretary Wes Streeting told Sky News in February that while the NHS is “not up for grabs”, NHS patients could take part in US clinical trials as part of a deal in life sciences and medical research.

He also told BBC Radio Four that in return for being in the “driving seat for that groundbreaking research”, we should expect British patients “are at the front of the queue for those new treatments and technologies”.

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Health sec: ‘NHS not on table’ in US talks

There was no mention of this in Thursday’s announcement.

However Sir Keir said that as part of the deal, the UK has secured “preferential treatment whatever happens in the future” when it comes to pharmaceuticals, as Mr Trump considers import taxes on drugs and medicines.

Read More:
Starmer’s gamble on Trump appears to have paid off

Film tariffs

Mr Trump has also touted the possibility of film tariffs, though like pharmaceuticals, no details have been announced.

Sir Keir said film tariffs weren’t included in Thursday’s deal as they aren’t currently in place but “of course we’re discussing it with the president’s team”.

Tech

Previous speculation had suggested the UK would revise the digital services tax as part of a deal, with the levy mainly applying to US tech companies.

However, this remains unchanged.

Instead, the two sides have agreed to work on a digital trade deal “that will strip back paperwork for British firms trying to export to the US – opening the UK up to a huge market that will put rocket boosters on the UK economy”, Downing Street said.

Sir Keir also confirmed that there is “nothing in the deal that impinges” on free speech, after US vice president JD Vance criticised the UK and other European governments for their approach.

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Palace confirms dates of Trump’s state visit – as King and Queen to host him at Windsor Castle

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Palace confirms dates of Trump's state visit - as King and Queen to host him at Windsor Castle

The dates for Donald Trump’s state visit to the UK have been announced, with the US president due to be welcomed by the King from 17 to 19 September.

Buckingham Palace also confirmed that President Trump and first lady Melania will be hosted by the King and Queen at Windsor Castle.

It was expected that the three-day state visit would take place in September after Mr Trump let slip earlier in April that he believed that was when his second “fest” was being planned for.

Windsor was also anticipated to be the location after the US president told reporters in the Oval Office that the letter from the King said Windsor would be the setting. Refurbishment works at Buckingham Palace also meant that Windsor was used last week for French President Emmanuel Macron’s visit.

This will be Mr Trump’s second state visit to the UK, an unprecedented gesture towards an American leader, having previously been invited to Buckingham Palace in 2019.

Donald Trump and Melania Trump pose with Prince Charles and Camilla in 2019
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Donald Trump and Melania Trump posing with Charles and Camilla in 2019. Pic: Reuters

He has also been to Windsor Castle before, in 2018, but despite the considerable military pageantry of the day, and some confusion around inspecting the guard, it was simply for tea with Queen Elizabeth II.

Further details of what will happen during the three-day visit in September will be announced in due course.

More on Donald Trump

On Friday, Sky News revealed it is now unlikely that the US president will address parliament, usually an honour given to visiting heads of state as part of their visit. Some MPs had raised significant concerns about him being given the privilege.

But the House of Commons will not be sitting at the time of Mr Trump’s visit as it will rise for party conference season on the 16 September, meaning the president will not be able to speak in parliament as President Macron did during his state visit this week. However, the House of Lords will be sitting.

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Labour MP: ‘Trump isn’t welcome here’

In February this year, Prime Minister Sir Keir Starmer presented the US president with the letter from the King inviting him to visit during a meeting at the White House.

After reading it, Mr Trump said it was a “great, great honour”, adding “and that says at Windsor – that’s really something”.

U.S. President Donald Trump holds a letter from Britain's King Charles as he meets with British Prime Minister Keir Starmer in the Oval Office at the White House in Washington, D.C., U.S., February 27, 2025. REUTERS/Kevin Lamarque     TPX IMAGES OF THE DAY
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In February, Sir Keir Starmer revealed a letter from the King inviting Donald Trump to the UK. Pic: Reuters

In the letter, the King suggested they might meet at Balmoral or Dumfries House in Scotland first before the much grander state visit. However, it is understood that, although all options were explored, complexities in both the King and Mr Trump’s diaries meant it wasn’t possible.

Read more from Sky News:
Is the UK ready for a ‘Trump-fest’?
Elton and Jagger at royal banquet
King and Trump won’t hold private meeting

This week, it emerged that Police Scotland are planning for a summer visit from the US president, which is likely to see him visit one or both of his golf clubs in Aberdeenshire and Ayrshire, and require substantial policing resources and probably units to be called in from elsewhere in the UK.

Precedent for second-term US presidents, who have already made a state visit, is usually tea or lunch with the monarch at Windsor Castle, as was the case for George W Bush and Barack Obama.

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Fireball at Southend Airport after small plane crashes

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Fireball at Southend Airport after small plane crashes

A small plane has crashed at Southend Airport in Essex.

Essex Police said it was at the scene of a “serious incident”.

Images posted online showed huge flames and a large cloud of black smoke, with one witness saying they saw a “fireball”.

A police statement said: “We were alerted shortly before 4pm to reports of a collision involving one 12-metre plane.

“We are working with all emergency services at the scene now and that work will be ongoing for several hours.

“We would please ask the public to avoid this area where possible while this work continues.”

Fireball after plane crash at Southend Airport. Pic: Ben G
Image:
A huge fireball near the airport. Pic: Ben G

It has been reported that the plane involved in the incident is a Beech B200 Super King Air.

According to flight-tracking service Flightradar, it took off at 3.48pm and was bound for Lelystad, a city in the Netherlands.

One man, who was at Southend Airport with his family around the time of the incident, said the aircraft “crashed headfirst into the ground”.

John Johnson said: “About three or four seconds after taking off, it started to bank heavily to its left, and then within a few seconds of that happening, it more or less inverted and crashed.

“There was a big fireball. Obviously, everybody was in shock in terms of witnessing it. All the kids saw it and the families saw it.”

Mr Johnson added that he phoned 999 to report the crash.

Southend Airport said the incident involved “a general aviation aircraft”.

Four flights scheduled to take off from Southend this afternoon were cancelled, according to its website.

Flightradar data shows two planes that had been due to land at Southend were diverted to nearby airports London Gatwick and London Stansted.

Smoke rising near Southend airport. Pic: UKNIP
Image:
Plumes of black smoke. Pic: UKNIP

Essex County Fire and Rescue Service said four crews, along with off-road vehicles, have attended the scene.

Four ambulances and four hazardous area response team vehicles are also at the airport, as well as an air ambulance, the East of England Ambulance Service said.

Its statement described the incident as “still developing”.

Fire engines at the scene at Southend Airport
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Fire engines at the airport

David Burton-Sampson, the MP for Southend West and Leigh, posted on social media: “I am aware of an incident at Southend Airport. Please keep away and allow the emergency services to do their work.

“My thoughts are with everyone involved.”

Local councillor Matt Dent said on X: “At present all I know is that a small plane has crashed at the airport. My thoughts are with all those involved, and with the emergency services currently responding to the incident.”

This breaking news story is being updated and more details will be published shortly.

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Heidi Alexander says ‘fairness’ will be government’s ‘guiding principle’ when it comes to taxes at next budget

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Heidi Alexander says 'fairness' will be government's 'guiding principle' when it comes to taxes at next budget

Another hint that tax rises are coming in this autumn’s budget has been given by a senior minister.

Speaking to Sunday Morning with Trevor Phillips, Transport Secretary Heidi Alexander was asked if Sir Keir Starmer and the rest of the cabinet had discussed hiking taxes in the wake of the government’s failed welfare reforms, which were shot down by their own MPs.

Trevor Phillips asked specifically if tax rises were discussed among the cabinet last week – including on an away day on Friday.

Politics Hub: Catch up on the latest

Tax increases were not discussed “directly”, Ms Alexander said, but ministers were “cognisant” of the challenges facing them.

Asked what this means, Ms Alexander added: “I think your viewers would be surprised if we didn’t recognise that at the budget, the chancellor will need to look at the OBR forecast that is given to her and will make decisions in line with the fiscal rules that she has set out.

“We made a commitment in our manifesto not to be putting up taxes on people on modest incomes, working people. We have stuck to that.”

Ms Alexander said she wouldn’t comment directly on taxes and the budget at this point, adding: “So, the chancellor will set her budget. I’m not going to sit in a TV studio today and speculate on what the contents of that budget might be.

“When it comes to taxation, fairness is going to be our guiding principle.”

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Afterwards, shadow home secretary Chris Philp told Phillips: “That sounds to me like a barely disguised reference to tax rises coming in the autumn.”

He then went on to repeat the Conservative attack lines that Labour are “crashing the economy”.

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Chris Philp also criticsed the government’s migration deal with France

Mr Philp then attacked the prime minister as “weak” for being unable to get his welfare reforms through the Commons.

Discussions about potential tax rises have come to the fore after the government had to gut its welfare reforms.

Sir Keir had wanted to change Personal Independence Payments (PIP), but a large Labour rebellion forced him to axe the changes.

With the savings from these proposed changes – around £5bn – already worked into the government’s sums, they will now need to find the money somewhere else.

The general belief is that this will take the form of tax rises, rather than spending cuts, with more money needed for military spending commitments, as well as other areas of priority for the government, such as the NHS.

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