The government should consider taxing foreign-owned golf courses following US President Donald Trump’s threat of a 15 per cent global tariff, it’s been suggested in Westminster.
Mr Trump, who owns two resorts in Scotland, declared on Saturday that the tariff would be "effective immediately" following a Supreme Court ruling on Friday that overturned his previous import tax regime.
Liberal Democrat Lord Wallace of Saltaire put forward the suggestion in Parliament, amid growing concerns in the UK over the potential impact of fresh trade levies on British exports.
UK business leaders have warned that this move could result in a further 5 per cent hike in fees on a "wide range" of goods exported to America, with the exception of those covered by a transatlantic trade deal.
Alluding to Mr Trump’s ownership of golf links at Trump Turnberry in South Ayrshire and Trump International Scotland in Aberdeenshire, Lord Wallace told the upper chamber: “We all know that President Trump is extremely transactional in his international relations.
“I know he respects those who bargain hard with him.
“Is the government considering imposing a new and hard tax on foreign-owned golf courses?”
Responding, business minister Lord Stockwood said: “I am not aware that is part of the negotiation.”
Earlier, Downing Street left open the possibility that the UK could impose reciprocal levies on American goods and services, but insisted it was focused on “constructive engagement” with the White House as a trade war would harm businesses.
The House of Lords heard Business Secretary Peter Kyle spoke to his US counterpart Jamieson Greer over the weekend where he “underlined his concerns about further uncertainty for business and reinforced the need to honour the UK-US deal”.
Britain had received the lowest tariff rate of 10 per cent and a subsequent agreement struck by Prime Minister Sir Keir Starmer and Mr Trump saw further carve-outs for cars, steel and pharmaceuticals.
Lord Stockwood said: “We continue to engage with the administration at all levels. Our priority remains to secure the best possible outcome for British businesses.”
The issue was raised in an urgent question by Tory former chancellor Lord Lamont of Lerwick.
The Conservative peer said: “Will the minister not agree that following the Supreme Court judgment, the decision of the United States president to impose, even on a temporary basis, tariffs of up to 15 per cent is deeply damaging to confidence, both in this economy and also that of the United States?”
In reply, Lord Stockwood insisted the actions of the Trump administration “does not affect our preferential treatment in key sectors like pharma, cars and steel”.
He added: “The trade deal with the US remains the first and the best trade deal that the US has negotiated.
“While this weekend does just throw up some bumps in the road we remain confident.”
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