What the UK's foreign policy will look like under a new Labour government.

• The new government's top priority will be managing complex relationships between global superpowers and geopolitical rivals, specifically the U.S. and China.
• Keir Starmer has vowed to enhance the UK-EU trade agreement, while maintaining that there is no justification for rejoining the EU.
• The government aims to enhance the U.K.'s national security in response to growing global threats.

After the U.K. general election on July 4, the incoming government will face a challenging international environment.

It is predicted that Keir Starmer, the Labour leader, will lead his party to success, with a promise to initiate a "decade of national revitalization" after 14 years of Conservative Party rule.

The incoming government will also be seeking to redefine the U.K.'s international image in the wake of Brexit, a recent spat of domestic political and economic blunders, and a more fractured global landscape. CNBC takes a look at the foreign policy priorities for the incoming government.

Navigating U.S.-China trade tensions

The new government's top priority will be managing complex relationships between global superpowers and geopolitical rivals, specifically the U.S. and China.

The UK will strive to preserve its "special relationship" with the US while adapting to a more protectionist and unpredictable American stance, especially if there is a change in leadership after the November presidential elections.

"According to David Dunn, professor of international politics at the University of Birmingham, who spoke to CNBC over the phone, the relationship between Keir Starmer and Donald Trump may seem awkward, but they will collaborate."

The progress on a U.K.-U.S. free trade deal, a key promise of the Brexit campaign, is likely to be limited due to the current interest from both the Republican and Democrat administrations. Instead, Britain may focus on sector agreements and continue partnerships on military and critical technologies, as suggested by Chatham House directors Bronwen Maddox and Olivia O'Sullivan in a May note.

Despite geopolitical and national security concerns, Labour is likely to maintain its current position of "deliberate strategic ambiguity" when faced with a more assertive China, as Dunn stated, mindful of the country's economic ties to Beijing. Similarly, Labour ministers, like Tories, met with Chinese-founded fast fashion giant ahead of a potential London listing, despite disputes over its human rights record.

Dunn stated that Britain and the EU are in a ambiguous position, being dependent on China while also being concerned about territorial acquisition and regional threats.

Repairing EU relations

The European Union is also likely to foster a closer working relationship with Labour.

Starmer, who campaigned for the U.K. to remain in the EU during the 2016 referendum, has stated that there is no justification for rejoining the EU, including its single market and customs union. Despite this, he has promised to improve the "flawed" U.K.-EU agreement in areas such as trade, research, and security.

Mujtaba Rahman, Eurasia Group's managing director for Europe, stated that there may be opportunities to revisit the core elements of the trading relationship after the two sides have rebuilt trust and the relationship is working more smoothly, as told to CNBC by phone.

The U.K.'s unwavering support for Ukraine during Russia's invasion has helped ease tensions with EU neighbors, solidifying its role as a security ally post-Brexit. This stance is expected to continue under a Labour administration.

The strengthened U.K.'s conversation with EU countries about common risks has opened up the chance for more constructive discussion of post-Brexit relations, according to Chatham House's Maddox and O'Sullivan.

Improving national security

Enhancing the U.K.'s national security will be a top priority for Labour as global tensions escalate and conflicts continue in Ukraine and the Middle East.

Labour echoed Conservative plans to boost defense spending to 2.5% of GDP, but shifted the 2023 deadline to an "as soon as we can" timeline in its election manifesto.

To address the current geopolitical climate, Chatham House recommends increasing defense spending to a minimum of 3%.

Starmer has stated that Labour will remain committed to NATO and our nuclear deterrent, while also prioritizing the improvement of military morale. Nevertheless, talks about the future of the transatlantic military alliance are likely to persist during the next U.S. administration.

Strengthening international order

Starmer's main focus should be to secure Britain's position as a reliable influence amidst the global political upheaval and elections.

Dunn stated that Labour could serve as a stable pillar in a world of change, providing a counterweight to shifting political sentiment in Europe and the U.S.

"Unlike many Western countries that are shifting to the right, Britain has embraced populism early, with a move towards the left," he stated.

The U.K. has already established expertise in diplomacy, security, and international law and order, which are likely areas of influence, according to Chatham House directors.

Chatham House's O'Sullivan and Maddox advised that the U.K. should maintain a consistent role on global issues where it has credibility, particularly on climate change, international development, arms control, and technology governance.