"The U.K. could see a boost to growth and higher wages for decades to come after becoming the first G7 country to secure a trade deal with the GCC today."
Trade Agreement Signed
The United Kingdom has signed a trade agreement with the Gulf Cooperation Council (GCC), becoming the first Group of Seven nation to do so. The deal is expected to boost the UK economy by an estimated £3.7 billion ($4.9 billion) annually and increase wages by £1.9 billion per year in the long run, according to the UK's Department for Business and Trade.
Key Details
- The GCC comprises Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates.
- The trade deal will remove an estimated £580 million in duties annually based on current UK exports to the GCC, with £360 million removed on the first day the agreement enters into force.
- British exports of cereals, cheddar cheese, chocolate, and butter are among goods expected to become tariff-free.
- The UK government described the agreement as reflecting "solidarity and long-term cooperation with its Gulf partners."
Statement
The Department for Business and Trade stated: "The U.K. could see a boost to growth and higher wages for decades to come after becoming the first G7 country to secure a trade deal with the Gulf Cooperation Council (GCC) today — strengthening our economic partnership with the region, supporting jobs in the long term, and bolstering domestic resilience."