LONDON — A senior British minister has warned that immigration and welfare policies proposed by Nigel Farage’s Reform UK party could trigger a trade dispute with the European Union and damage Britain’s economy.

Nick Thomas-Symonds, the government’s minister responsible for relations with the EU, said the proposals risk undermining agreements reached after Britain left the bloc and could lead to retaliatory measures from Brussels.

Speaking ahead of a government push to strengthen economic cooperation with Europe, Thomas-Symonds said tearing up commitments linked to EU citizens’ rights could escalate tensions and lead to tariffs or other trade barriers.

The UK’s trade with the EU is worth around £800 billion annually, and the minister warned that a conflict could raise costs for businesses and consumers while threatening jobs.

The criticism follows proposals from Reform UK to remove welfare access for some EU citizens living in Britain and to revisit elements of the post-Brexit settlement.

Reform UK has rejected the government’s claims, accusing ministers of exaggerating the risks. Party figures say welfare policies should prioritize people who have contributed to the UK system and argue that tighter immigration controls are necessary.

The debate comes as the Labour government prepares to outline its strategy for improving trade and cooperation with the EU while maintaining that the UK will not rejoin the bloc or return to the single market or customs union.

Immigration policy and relations with the EU remain central issues in British politics more than five years after the United Kingdom formally left the European Union following the Brexit referendum.

Rising global oil prices linked to the Middle East crisis could also increase pressure on British households already dealing with higher living expenses. Analysts say the economic impact could influence the country’s broader cost-of-living outlook in 2026.