UK inks trade deal with Switzerland – despite shouting match
The UK and Switzerland have inked a new free trade deal that ministers say will boost Britain’s services economy by some £5.2bn a year – despite talks breaking down just weeks ago to such an extent that both parties were “shouting at each other”.
The agreement is the largest the UK has negotiated since it left the European Union, and will extend an already-existing policy allowing Swiss and British services professionals visa-free access to their corresponding market.
UK travellers will also be granted surcharge-free international roaming as part of the same deal, and an agreement signed in parallel means they will simultaneously be granted access to Switzerland’s passport e-gates.
“It’s not been easy,” trade minister Chris Bryant said, adding: “There were moments when we were pretty much shouting at each other across the table to try and land the best deal for both of our two countries. Fundamentally, we wanted to do a single, simple thing, which is dramatically improve the opportunity for British businesses and Swiss businesses to do trade with each other.”
Trade deal extends visa-free travel arrangement
Since 2019, Britain and Switzerland had agreed a temporary agreement allowing firms to send staff to and from the respective countries without having to navigate thorny visa processes. But the deal inked on Monday makes that agreement permanent, while also extending it to Swiss residents who originally come from other countries.
The agreement is the latest in a string of free trade pacts struck by the UK in the wake of its departure from the European Union, but the first to focus solely on services as opposed to goods. In the past year, ministers have agreed terms with the likes of India, South Korea and the Gulf Cooperation Council.
The UK was also the first country sign an agreement with the United States after Donald Trump’s swingeing ‘liberation day’ tariffs, which brought down trade barriers between the two countries.
The majority of negotiations have focused on goods, with the India deal centred around whisky, clothing and carmakers and the South Korea deal bringing down tariffs on items like salmon and Guinness.
But services make up more than 80 per cent of Britain’s economy, and Monday’s rapprochement with Switzerland represents the largest deal Britain has ever signed focused on services.
Prime Minister Keir Starmer said the trade deal means “British firms will find it easier to sell their expertise in one of our most important markets in Europe, supporting jobs and investment here at home”.
“This landmark agreement is the sixth trade deal we’ve secured in two years and will open up new opportunities for British businesses and help drive growth across the country,” he added.