It was an event that many had not anticipated, whilst the UK were in the midst of a divorce from the EU Donald Trump turned up in one of the most surreal US Presidential elections in history.
His victory has raised some eye brows amongst world leaders but not least the new UK Government, opening the door to a potential collaboration at such a pinnacle point in British history.
His clear favorable view of the UK and its decision to leave the EU has played into the hands of Nigel Farage, the only British politician to have met the President elect since the news last week. In some ways, Trump owes some gratitude to the ex UKIP leader, who jumped on the Trump train during his campaign shortly after the UK’s Referendum.
Whilst this all sounds like good news in theory, Trump and his officials have shown distaste towards the new Government’s unfavorable view of him, a message that was echoed by Nigel Farage in the latter part of last Friday.
And given that Nigel Farage has a friendly relationship with the new Presidential elect one would assume that Theresa May would use Farage as an intermediary contact, however she has since dismissed this as a possibility.
It’s now up to May to mend bridges with Trump, who has previously criticised his campaign, but who would have thought his victory may have positive connotations for post-Brexit Britain?
Or is all this talk just another one of Trump’s post-elect promises that investors have overplayed?
Trump already showing signs of backing down on campaign promises
When you consider that Theresa May was the 8th world leader Trump called after he was confirmed the Presidential elect, its difficult to envisage that the UK will get special treatment in Trump’s new world.
Having said that, the news was seen as positive for the Pound as new hopes of a post-Brexit deal were brought to the attention of the markets. But how likely is it that Trump will fulfill on his campaign promises?
We’ve seen already that his great wall of Mexico will be part build by fences as opposed to bricks and Hillary Clinton is not in jail. He does however, plan to go ahead and deport 3 million illegal immigrants as soon as he is sworn into office.
But Trump promised a great deal during his campaign, which would be difficult to implement within his 4 years as President. He appears to lack the attention span to put together a coherent UK-US trade deal which is likely to frustrate the UK. If Theresa May hopes to get any sort of deal out of Trump, she will need to be flexible around his needs or risk losing an opportunity.
As it stands, I would remain skeptical to any such UK-US trade deal and making the most of the recent Sterling highs may be worthwhile.