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Britain’s mooted “special relationship” with the US is under even more pressure after analysis revealed that sales from the UK stateside have tumbled.

The value of British goods exported to the United States fell by 10.3 per cent to £59.2bn last year following the introduction of US tariffs, according to analysis of trade figures by Lubbock Fine.

Alex Altmann, partner at the business advisers and chartered accountants, said: “Tariffs have already reduced the value of British goods exports to the US, and with more likely on the way, I would not be surprised to see further falls in trade. This illustrates the need for Britain to cultivate trade with other nations, especially by reducing friction on trade with the EU, Britain’s biggest trading partner.”

The worst hit business sectors are footwear, clothing, handbags and cars.

The fall in UK goods exports to the United States is the first since Covid. The US remains the UK’s largest single trading partner, but Donald Trump has introduced sweeping tariffs on a broad range of imported goods.

Some economists say this shows the need to rebuild relations with the EU and boost trade with our neighbours.

Mr Altmann said that if the government worked with Brussels to reduce red tape, such as import/export declarations, document requirements and inspection requirements, it could kickstart trade growth.

“The UK needs to reduce trade barriers with the EU, now that the US is a much more uncertain export market. The government wants to create closer trade ties with Europe, and the business community would support it on this,” he said.

“There is just too much unnecessary paperwork involved in trading with the EU at the moment. You only have to look at the red tape, border checks and controls that have been placed on exports of food, drink, plants and animal products. These are completely unnecessary barriers to business.”

The majority of sectors saw a fall in the value of trade with the US, with notable reductions occurring in areas such as clothing, where UK exports fell more than 25 per cent to £288.7m.

Footwear was down 21.2 per cent to £33.5m, while sales of art dropped 16.4 per cent to £1.2bn.

The government agreed a trade deal with Washington in May, which reduced tariffs on British cars from 25 per cent to 10 per cent, but this wasn’t enough to stop exports tumbling. The value of car exports to the US fell by 28.1 per cent to £7.5bn.

Despite that trade deal, UK exports are set to be hit by further tariffs, as US treasury secretary Scott Bessent says that Washington will impose a global 15 per cent tariff imminently.

Henri Murison, chair of the Growing Together Alliance, said: “Over the course of 2025, we’ve seen a clear recalibration in UK trade patterns. While America remains a vital market, particularly for manufacturers, exporters have increasingly diversified as conditions have shifted. This reflects geopolitical realities, but also the adaptability and resilience of UK firms.”