U.K. and EU confirm landmark agreement on trade, climate, and security.
Negotiators from the U.K. and European Union have reached a comprehensive agreement aimed at deepening bilateral ties ahead of a major summit scheduled for Monday, according to an official government announcement.
The breakthrough, initially reported by media outlets like Bloomberg and BBC, came after six months of negotiations and marks the third major international deal announced by the U.K. government in recent weeks.
The agreement includes a new Sanitary and Phytosanitary (SPS) deal to ease food and drink trade, the formal linking of carbon markets, a twelve-year fishing agreement, and expanded cooperation on defense, security, and migration.
The SPS agreement will remove some routine checks on animal and plant products, allowing goods to flow more freely, including between Great Britain and Northern Ireland.
Officials say the deal, which has no time limit, could reduce supermarket prices and support industries like meat and dairy. British exporters will again be able to sell products such as sausages and burgers into the EU.
On climate cooperation, the U.K. and EU will link their Emissions Trading Systems (ETS). The government said this will “avoid businesses being hit by the EU’s carbon tax due to come in next year,” and boost U.K. energy security. The SPS and ETS measures combined are expected to add nearly £9 billion to the U.K. economy by 2040.
A new twelve-year agreement secures British fishing rights with no increase in EU quotas in U.K. waters. The government also pledged £360 million in investment for the fishing industry, including new technology, training, and fleet modernization.
The Security and Defence Partnership paves the way for U.K. participation in the EU’s proposed €150 billion SAFE defense fund. The agreement will also shield British steel exports from new EU tariffs, saving U.K. firms £25 million annually.
Source: Investing
