On Monday, British trade ministers began their first combined travel to the Gulf, to explore a new trade agreement with the Gulf Cooperation Council (GCC), which includes Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates. Trade Secretary Jonathan Reynolds and Trade Policy Minister Douglas Alexander are leading conversations with their GCC counterparts.
Trade has been a difficult sector for the UK recently, with Brexit frequently identified as a contributing cause. The administration, founded following Prime Minister Keir Starmer’s Labour Party’s majority victory in July, is eager to obtain trade agreements as part of its overall economic agenda. Along with the Gulf, the UK is pursuing agreements with India, Switzerland, and South Korea to boost economic growth.
“I’m focused on securing a high-quality trade deal that supports jobs, boosts UK companies, and increases consumer choice,” Reynolds said in an interview.
The UK Business and Trade Department predicts a potential free trade agreement with the GCC may boost the economy by £1.6 billion ($2.10 billion) over time. Despite its efforts, Britain has ranked last among the Group of Seven (G7) advanced economies in export growth for goods and services since 2019, even after accounting for its considerable precious metals trade.
