Canada, UK leaders discuss trade, defense bank amid frayed US relations

Canadian Prime Minister Mark Carney spoke with UK Prime Minister Keir Starmer on Monday to discuss deepening economic and security partnerships between the two countries, according to a statement from Carney's office. The call followed last week's deadly school shooting in Tumbler Ridge, British Columbia, for which Starmer offered condolences.

Trade and CPTPP Progress

"The prime ministers discussed the growing economic and security partnerships between Canada and the UK, including intensified collaboration on trade," the statement read. They highlighted progress through the Canada-UK Economic and Trade Working Group in digital trade, critical minerals, and sovereign AI infrastructure. Ongoing discussions between the European Union and the CPTPP bloc were also addressed.

Defense, Security and Resilience Bank

Carney emphasized the potential of the proposed Defense, Security and Resilience Bank to "unlock private capital to fund defense and security firms across the supply chain—creating massive opportunities for workers and businesses." The leaders agreed to task their teams with advancing this objective and ensuring alignment of Canadian and UK efforts.

Strengthening Ties Amid US Strain

The conversation comes as Canada seeks to strengthen global partnerships amid strained relations with the United States. Tensions have escalated since President Donald Trump imposed tariffs on Canadian goods and halted trade talks following an anti-tariff advertisement aired in the US.