Let China build electric cars in UK, Tory ex-chancellor tells Rachel Reeves ahead of trade trip

Despite ‘spy’ scandal, Philip Hammond says Britain should now adopt a ‘pragmatic approach to Beijing’

China should be encouraged to build electric cars and renewable energy technology in the UK as part of a new pragmatic trading relationship that would benefit both countries, a former Tory chancellor has said ahead of a landmark visit by Rachel Reeves to Beijing early in the new year.

Philip Hammond, who was chancellor from 2016 to 2019, and the last UK minister to take part in formal economic discussions with China before the process was abruptly ended, told the Observer that while Reeves should never “compromise security for trade”, there were vital economic sectors where deals could be struck.