UK and Iraq boost cooperation on trade, growth and illegal migration

The UK will benefit from boosts to trade and further cooperation on tackling illegal migration as Iraqi Prime Minister Mohammed Shia' Al Sudani visits Downing Street today (Tuesday 14 January) for talks with the Prime Minister. 

As part of the closer economic relationship being forged today, the Prime Minister and his counterpart will announce an up to £12.3 billion export package, worth around ten times last year's trade between the UK and Iraq.  This package is underpinned by a series of export agreements which will boost the growing trading relationship between the UK and Iraq, representing significant opportunities for UK businesses and contributing to the government's mission to deliver economic growth.  

The leaders will also discuss a new specific migrant returns agreement between the UK and Iraq. Once in place, the deal will ensure those who have no right to be in the UK can be returned swiftly.

Prime Minister Keir Starmer said:

“Today marks a new era in UK-Iraq cooperation, which will deliver mutual benefits from trade to defence, as we continue to work together towards stability in the wider region.

“It's clear that Iraq shares our priority of delivering economic growth and the £12.3 billion export package being unveiled today offers huge opportunities for British businesses, representing a step-change in the trade and investment relationship between our two countries.

“Secure borders are a vital foundation of our Plan for Change, so I am also very pleased get started on talks for a bespoke returns agreement between our countries. The deal will help dismantle the people smugglers' business model by sending the clear message that if you come here illegally, you cannot expect to stay."

The leaders will sign a milestone Partnership and Cooperation Agreement, leveraging UK private sector expertise on water, energy, telecoms, and defence infrastructure to secure future investment projects and major opportunities for British business. 

Secretary of State for Business and Trade, Jonathan Reynolds said:

“This yet another vote of confidence in Britain. As an open, proud trading nation our trade strategy will build upon deals like this to strengthen our economy. This announcement reflects our evolving bilateral relationship and represents a step forward in our growing trade partnership.

“This agreement – a significant £12 billion export package, helped by our UK Export Finance - will give UK and Iraqi business more certainty and help lead to growth and genuine shared benefits for both our economies.”

In a further demonstration of how our cooperation with international partners delivers for the UK, the leaders will also mark the export of £66.5 million worth of equipment from the UK to strengthen Iraq's borders and disrupt smuggling gangs, delivering on the government's Plan for Change by securing our border and delivering economic growth.

This comes as the government fulfils its pledge deliver the highest rate of removals since 2018 with a surge in returns activity leading to 16,400 people with no right to be in the UK removed. The talks also build on the Home Secretary's visit to Iraq in November, where she signed agreements including the largest-ever operational package between the UK and Iraq on border security and law enforcement, in order to enhance Iraq's capability to tackle people smuggling. Today's talks will strengthen the implementation of this pact.

Home Secretary Yvette Cooper said:

"When I signed the landmark deal with Iraq in November, it was a clear signal of our commitment to dismantle the criminal smuggling gangs together.

"Our world-first security agreement with Iraq is already showing its impact. By strengthening border security with our Border Security Command, enhancing intelligence-sharing, and providing additional funding to support Iraq's law enforcement capabilities, we're targeting people smuggling gangs where it hurts.

"Today is the next step in ensuring this important partnership with Iraq goes from strength to strength. As a result, we are making it harder for criminals to exploit vulnerable people, and ultimately we are bringing them to justice."

Last week, the UK also launched the world's first standalone sanctions regime targeting people smugglers. Expected to come into force within the year, the regime will clamp down on illicit financing rings who make huge profits exploiting vulnerable people by facilitating illegal migration.  

The meeting with Prime Minister Al-Sudani follows the Prime Minister's visit to the Gulf in December to support stability in the Middle East and deliver a foundation of security at home.  

The Prime Minister will further bolster the UK's defence relationship with the region today with the signing of a joint statement which will deepen the UK's cooperation with Iraq a decade on from the establishment of the Global Coalition's mission in Iraq and Operation Inherent Resolve leading to the territorial defeat of Daesh.