Donald Trump has announced tariffs of 10pc on Britain as part of a “declaration of economic independence” by the US.

Britain escaped the worst of the US president’s wrath as he imposed a sweeping programme of new “reciprocal” taxes on imports from countries around the world.

Mr Trump imposed the lowest level of levies on the UK. By contrast, China has been hit with tariffs of 34pc and imports from the European Union face a 20pc levy.

The US president also confirmed that previously announced plans to impose 25pc tariffs on all foreign car imports would come into effect at midnight.

A Downing Street source said the lower levies for the UK “vindicates our approach” after weeks of intensive diplomacy by Sir Keir Starmer and his cabinet colleagues.

Jonathan Reynolds, the Business Secretary, said: “We will always act in the best interests of UK businesses and consumers. That’s why, throughout the last few weeks, the government has been fully focused on negotiating an economic deal with the United States that strengthens our existing fair and balanced trading relationship.”