Sir Keir Starmer challenged Kemi Badenoch to “board the train to Solihull” and engage with workers at Jaguar Land Rover after she ridiculed his “insignificant” US trade agreement.
The Conservative leader advised the Prime Minister against exaggerating the situation after Donald Trump pledged to reduce car tariffs from 27.5% to 10% and eliminate a 10% tariff on steel.
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Ms. Badenoch claimed that the UK remains in a “deteriorated position” compared to before the tariffs were implemented, stating during PMQs: “I’m quite pleased to welcome these minor tariffs.”
“However, the reality is that we are in a worse position than we were back in March. He should not embellish the situation.”
She indicated that conditions are “declining” for businesses, with the ONS reporting 100,000 fewer jobs than last year, even before the rise in employer national insurance has taken effect.
Sir Keir responded by suggesting she should “take the train to Solihull” to speak with JLR factory employees and “inform them of her plan to abolish the deal that safeguards their jobs.”
“Upon completing that, she might visit Scunthorpe to tell the steelworkers there that she plans to scrap the deal that secures their jobs.
“And if she has time, she should head to Scotland and discuss with the whisky distilleries how she would undo the deal that creates 1,200 jobs for them and enhances their exports, and then report back next week on their responses.”
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Sir Keir is the first world leader to have secured a trade agreement with Mr. Trump since the implementation of the tariffs as part of a global strategy.
For the UK, this includes a baseline 10% tax on all goods entering the US, which remains in effect.
Ministers have indicated that efforts are underway to eliminate the remaining tariffs, asserting that what was accomplished is significant as it has preserved thousands of jobs that were at imminent risk.
The agreement came shortly after the UK and India established an “ambitious” trade deal that will reduce tariffs on goods like whisky and gin.
As Mr. Trump himself remarked, the Tories spent years attempting to finalize a deal with Washington, but it was only achieved “under this Prime Minister.”
However, while the agreement has provided Sir Keir with a boost, it unfolds against a challenging economic backdrop at home.
Unemployment Debate
Official figures released on Tuesday indicated that wage growth is slowing and job openings are dwindling as employers contend with escalating costs.
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The Tories have attributed the rising employer national insurance, which they label a “jobs tax,” to the challenges faced by British businesses, with Ms. Badenoch frequently utilizing PMQs to criticize it.
In other exchanges on Wednesday, she urged Sir Keir to guarantee that unemployment would decrease by this time next year, asserting it has risen by 10% since the general election due to Labour’s policies.
This statement was later contested by Labour MP Jake Richards in a point of order, who claimed the unemployment figures cited were incorrect.
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The figure she mentioned pertains to unemployed individuals but fails to account for population growth, which provides a more accurate representation of trends.
According to the Office for National Statistics (ONS), the unemployment rate, reflecting the working-age population, has grown from 4.3% to 4.5% since July 2024.
Sir Keir remarked that Ms. Badenoch “must be the only person left in the country who believes the economy thrived after the last government.”
“We have generated new jobs, achieved record investments, and completed trade deals that they failed to secure, such as the India deal—which they spent eight years pursuing. We accomplished that deal. They discussed a US deal. We achieved that deal.
“A once-great political party is descending into brain-dead irrelevance.”