UK companies seek deeper ties with Europe as new Trump tariffs hit

British companies are seeking deeper trade ties with Europe, business groups told CNBC, as U.S. President Donald Trump unveiled a sweeping 15% tariff on all imports after the Supreme Court struck down previous levies.

New tariffs would mark a 50% increase on the level negotiated last year in a trade deal between the U.K. the U.S., making the country one of the worst hit, according to analysis from think tank Global Trade Alert.

While U.S. Trade Representative Jamieson Greer said the administration “expects” to stand by trade deals, the U.K. government is reportedly in ongoing discussions with counterparts in America.

On Tuesday, the global tariff rate of 10% came into effect, while the White House reportedly works on a formal order to approve the higher 15% duty.

The seesawing uncertainty is increasingly forcing U.K. businesses to look to closer alignment with the European Union and European countries, as they hunt for predictable trade partnerships, groups which represent U.K. businesses told CNBC.

“There’s just no certainty or consistency and companies are very weary of this,” said William Bain, head of trade policy at the British Chambers of Commerce (BCC), which represents 50,000 businesses.

“They’re potentially looking at other options in terms of doing more trade with Europe or with the Indo-Pacific [region], where there seem to be less risk of fluctuations,” he told CNBC.

The new tariffs have raised alarm in Europe, with governments asking for more clarity from the White House as to what the new policy means for their trade deals. The EU negotiated a 15% duty on most exports with the U.S. in 2025.

Business and trade secretary Peter Kyle told CNBC on Monday, before the new tariffs came into effect, that he spoke with Greer on Sunday to raise “concerns about further uncertainty for businesses here and the need to honour our existing deal.”

“This Government will continue to engage with the US, and our priority throughout will be providing clarity for businesses and protecting jobs,” he added.

CNBC has approached the U.S.’ Department of Commerce for comment.

“The U.S. is seen as increasingly unpredictable and there remains some concern about the EU’s growth as they strive to compete with the world’s main trading blocs,” said Emma Rowland, trade policy advisor at UK business group the Institute of Directors (IoD), which represents around 20,000 business leaders.

As a result, firms are looking to diversify supply chains or reconsidering the U.S. as a market…