This the first and one of the most significant existing
trade agreements to the UK to have been agreed as part
of the government’s preparations to ensure continuity
for businesses and consumers as we leave the EU.
There are around 40 existing EU trade agreements that
the UK government is seeking to provide continuity for
and a number of other agreements are at an advanced
stage.
The agreement replicates the existing EU-Switzerland
arrangements as far as possible and will come into
effect as soon as the implementation period ends in
January 2021, or on 29 March 2019 if the UK leaves the
EU without a deal. It has now been initialled by both
countries.
Britain has a major trade surplus with Switzerland,
with exports worth £19.04 billion last year. British
exports have grown by 41.1% in the last 5 years.
International Trade Secretary said:
This is one of the most significant existing trade
agreements, with British companies exporting £19
billion worth of goods and services last year, and it
will provide the certainty that businesses need to
continue trading freely.
This is the first of around 40 trade agreements that
we will provide continuity for and many other
agreements are also close to being agreed. It is a
vital part of our no deal planning and it means that
businesses and consumers can continue to benefit from
our close trading relationships with the world beyond
the European Union.
Carolyn Fairbairn, CBI Director-General, said:
It’s good news that a transition to a trade agreement
with Switzerland has been agreed.
A great deal with the EU needs to be delivered
alongside continuity of the trade agreements the UK
already enjoys through single market membership. The
opportunity now is to reach agreement on the
remaining deals.
British jewellery, precious stones and metal are the
largest goods exports to Switzerland, worth £10.7
billion in 2017. Pharmaceutical products also continue
to be one of the UKs biggest exports to Switzerland,
worth over £500m in 2017.
Once the agreement is signed, both the UK and
Switzerland will seek parliamentary approval for the
agreement.
