Financial Times FT.com

UK in secret deal with Italy on China trade

By George Parker and Andrew Bounds in Brussels

Published: September 22 2006 22:16 | Last updated: September 22 2006 22:16

Britain has offered a secret deal to Italy under which it would back Rome’s demand for punitive tariffs on cheap Chinese shoes in return for Italian support for the UK’s long-hours work culture.

The classic example of European Union horse-trading has dismayed retailers, who claim a deal with Italy could force Britain to support Rome in future trade disputes with China over imports of low-price furniture and ceramics.

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