Prime Minister Keir Starmer has concluded a £3.7 billion trade agreement with six Gulf states, ending four years of negotiations under four different prime ministers. The deal, which doubles original estimates, is described as a 'huge win' for British business, particularly in food, luxury cars, defence, aerospace and services.
Tariffs will be removed on 93% of British goods sold in the Gulf Cooperation Council (GCC) countries: Saudi Arabia, Kuwait, Oman, Qatar, the United Arab Emirates and Bahrain. UK services, which account for 80% of the economy, will gain guaranteed access, and British firms can now store data outside the region for the first time.
However, the deal faces criticism for omitting a human rights chapter. Tom Wills of the Trade Justice Movement called it 'especially alarming given the severe human rights abuses across the Gulf region'. The government defended the omission, saying it prefers to raise such issues through political channels.
The National Farmers' Union (NFU) welcomed the agreement as the best agricultural deal since leaving the EU, after securing no concessions on poultry standards. The British Chambers of Commerce said it would create new opportunities in financial services, energy, construction and technology.
This is Starmer's third trade deal following pacts with India and South Korea. The Gulf states export few goods beyond petrochemicals to the UK, but the deal is expected to boost investment flows both ways, including in assets like Heathrow Airport and Newcastle Football Club.
