UK-EU Agri-Food Deal Can Deliver Annual £5 billion Economy Boost

(Text and images, copyright Logistics UK, reproduced with kind permission)

(Image 1, James Mills, Logistics UK)

Since the UK's decision to leave the EU was announced, business group Logistics UK has been consistent in calling for a comprehensive sanitary and phytosanitary (SPS) agreement between both economies. Today's (9 March) announcement, that a deal is expected to be in place by mid-2027, is a significant step to reduce border friction and boost trade that, according to experts, has the potential to boost the UK economy by £5.1 billion every year1.

Head of Trade Policy at Logistics UK James Mills explains further:

"UK businesses are currently forced to trade with one hand tied behind their backs as they deal with the administrative cost and delays caused by the UK's decision to leave the EU. Current SPS requirements add cost and complexity to supply chains with certificates and inspections adding hundreds, if not thousands, of pounds to the cost of each load.

"The progress announced today regarding a new SPS agreement with the EU will be welcomed by businesses of all sizes. Fixing the friction at the border and removing unnecessary red tape will give businesses renewed confidence in trading with the EU, and help boost economic growth nationwide, because when the UK trades more easily, it grows.

"It is now essential that negotiations progress as quickly as possible so the new UK-EU SPS agreement can be delivered as expected by mid-2027. We will continue to work with the government to ensure the concerns of our members and the wider industry are heard to ensure a smooth implementation of the new trading regime from day one."

Logistics UK is one of the UK's biggest business groups, representing logistics businesses which are vital to keeping the UK trading, and more than seven million people directly employed in the making, selling and moving of goods. With decarbonisation, new technology and other disruptive forces driving change in the way goods move across borders and through the supply chain, logistics has never been more important to UK plc. Logistics UK supports, shapes and stands up for safe and efficient logistics, and is the only business group which represents the whole industry, with members from the road, rail, water and air industries, as well as the buyers of freight services such as retailers and manufacturers whose businesses depend on the efficient movement of goods. For more information about the organisation and its work, please visit logistics.org.uk