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October 20, 2022

Prime Minister Liz Truss Resigns – What It Means For CANZUK

Prime Minister Liz Truss Resigns – What It Means For CANZUK
October 20, 2022
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James Skinner

James Skinner

James is the Founder & Chief Executive of
CANZUK International in Vancouver, Canada

In the early hours of Thursday morning, Prime Minister Liz Truss made the difficult decision to resign as the United Kingdom’s Prime Minister – a decision that had been predicted by many for weeks prior.
Following the economic and political fallout of her party’s “mini-budget” and the humiliating U-Turn to save face from her backbenchers, the party membership and the media, the damage was too great to mitigate and resignation became the only viable option.

Although there will be many questions in the days ahead (predominantly, what policies her successor, Rishi Sunak, will prioritize), one question that is worth asking is how the ongoing development of CANZUK relations will be affected.

The most obvious impact is that negotiations between Canada and the United Kingdom will likely be delayed slightly with respect to their new and comprehensive trade deal – a deal which has already passed the third round of negotiations and is widely supported by the Canadian public to include provisions for freer movement.

Of 2,135 adults surveyed in a recent poll between September 1st and September 7th, 2022, 82% of Canadians agreed that visas and work permits should become part of the ongoing trade agreement negotiations, with the intention of increasing visa access for UK and Canadian citizens.

It is therefore clear that the government has a mandate to explore freer movement between the two nations, and there is good news in that the Secretary of State for International Trade, Kemi Badenoch, will retain her position and her ability to negotiate such provisions as part of the Canada-UK trade deal. Given that a new Prime Minister almost always means a cabinet reshuffle, the position could have easily gone to someone else and therefore delayed negotiations further.

On a more somber note, however, there is no guarantee that Sunak – along with his new cabinet – will prioritize CANZUK relations as part of foreign policy due to the dire economic situation which the UK finds itself in. At present, the nation is dealing with high inflation, upward pressure on interest rates, and an energy crisis that has not been seen since the 1970’s.

However, there is some hope on the horizon. Former Prime Minister Boris Johnson has been a long time supporter of closer relations between Canada, Australia, New Zealand and the United Kingdom, and has even publicly stated his desire to further CANZUK relations. There can be no doubt that his support has resonated amongst many MPs within the Conservative Party, many of whom will likely bring this support with them to Sunak’s cabinet.

However, everything at this point is mere speculation. As the UK fights crippling inflation, economic uncertainty and unprecedented energy prices from turbulent oil and gas markets, there is much to be done from the new British government; not only to avoid economic collapse, but to avoid a general election which the opposition benches are vehemently calling for.

For now, all we can do is wait and see. The eyes of the world will be on the UK in the coming days, and there are many who are hoping that the UK’s new government under Sunak will continue progressing CANZUK relations in the years ahead.

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See also:

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UK & New Zealand Working Holiday Schemes Upgraded

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UK Secures Accession To CPTPP Trade Agreement

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