U.K. pauses trade talks with Canada, claims ‘progress is not being made’

The United Kingdom hit pause on trade talks with Canada less than a month before the next round of talks towards a permanent trade deal was expected to take place.

The United Kingdom is hitting pause on negotiations for a new free trade agreement with Canada, with the British government claiming “progress is not being made.”

The statement shared by Susannah Goshko, the British high commissioner to Canada, on Thursday came less than a month before the next round of talks towards a permanent trade deal was expected to take place.

“We have always said we will only negotiate deals that deliver for the British people,” said the statement, attributed to a British government spokesperson. “And we reserve the right to pause negotiations with any country if progress is not being made. We remain open to restarting talks with Canada in the future to build a stronger trading relationship that benefits businesses and consumers on both sides of the Atlantic.”

Trade Minister Mary Ng’s office said in a statement of their own that London’s “unwillingness to reach a mutual agreement has only stalled negotiations,” accusing the U.K. of maintaining “market access barriers for our agricultural industry.”

The office said Ng has been in touch with her British counterpart Kemi Badenoch to express Canada’s “disappointment” over the stalled negotiations.

Canada and the U.K. formally opened talks on an updated free trade deal in 2022. But sticking points have emerged on both sides of the negotiations.

A special quota for U.K. cheese imports, which offered the same low-tariff access to the Canadian market as the European Union has, expired at the end of last month.

Canada has also decided not to extend country-of-origin rules set to expire at the end of March, which will likely drive up the price of U.K. goods such as luxury cars.