Chancellor John Healey is set to warn the European Union against excluding the UK from its 'Made in Europe' scheme, which aims to protect industries from Chinese competition. At a meeting of EU finance ministers in Dublin on Friday, Mr Healey will advocate for closer UK-EU partnerships in technology, defence, and manufacturing.
Treasury sources informed the BBC that Mr Healey will urge the EU to design its "Made in Europe" programme in a way that strengthens ties with the UK, rather than creating new barriers. The policy, officially named the Industrial Accelerator Act (IAA), is currently under consideration by the bloc and seeks to protect EU manufacturing through restrictions on goods from non-EU countries.
There are concerns within the government that this scheme could potentially lock British firms out of European supply chains. Treasury officials stated that Mr Healey's objective is to reduce the economic impact of Brexit and foster closer ties with the EU, but not at any cost to the UK.
Mr Healey said: "To me, closer ties with the EU means British businesses – wherever they are based across the UK – get better access to both the supply chains and the customers they need to grow." He will use the Dublin meeting to focus on tech firms, defence companies, and manufacturing.
This meeting follows the delay of a reset summit with the EU, which is now expected to take place in November, according to Treasury sources. Earlier this week, it emerged that Mr Healey is also in discussions about joining a global investment bank, the Defence, Security and Resilience Bank (DSRB), aimed at increasing defence spending.