Britain is putting the brakes on trade negotiations with Canada after Ottawa decided not to extend two interim measures put in place after Brexit.
London today announced a suspension of negotiations on a permanent trade deal, less than a month until the next round of talks are due to take place.
A special quota for British cheese imports that provided low-duty access to the Canadian market, similar to that in the European Union, expired late last month.
Canada has also decided not to extend its country of origin rules, which are due to expire at the end of March, which is likely to increase prices for British goods such as luxury cars.
Trade Minister Mary Ng's office said the move stemmed from Britain's “unwillingness” to offer anything in return, such as compromising on the Canadian meat dispute.
Both countries say they want a fair deal for each other's businesses, farmers and workers.
“We reserve the right to suspend negotiations with any country if progress is not made,” the UK government said in a statement.
“We remain open to resuming negotiations with Canada in the future to build a stronger trade relationship that benefits businesses and consumers on both sides of the Atlantic.”
Ng's spokeswoman Shanti Cosentino said Canada was “disappointed” by the move.
“Their decision to continue to maintain market access barriers to our agricultural industry and reluctance to reach mutual agreements will only stall negotiations,” she said.
“The UK is a long-standing trading partner and we are confident that we can negotiate a win-win agreement for Canada and the UK.”
Canada's livestock sector is lobbying against a deal with Britain over a long-standing dispute over hormone-treated beef and pork.
Britain is refraining from importing meat treated with certain hormones widely used by Canadian ranchers, insisting the Britons' concerns are not based in science.
