UK food industry welcomes UK-EU trade deal but urges caution

The UK Government has announced a new trade agreement with the European Union aimed at removing long-standing barriers to food and drink trade that emerged post-Brexit.

Finalised after six months of negotiations, the deal includes provisions to streamline trade and reduce regulatory burdens that have hindered businesses since the UK’s departure from the EU.

Key elements of the of the UK-EU trade deal include:

• A new Sanitary and Phytosanitary (SPS) agreement to simplify the import and export of food and drink
• Removal of some routine checks on animal and plant products
• The lifting of the EU ban on UK chilled meat exports, including sausages and mince
• A 12-year agreement granting EU fishing access to UK waters until 2038

Prime Minister Keir Starmer hailed the agreement as a turning point in UK-EU relations and a practical step towards economic growth. He added:

It’s time to look forward, to move on from the stale old debates and political fights to find common sense, practical solutions which get the best for the British people.

“We’re ready to work with partners if it means we can improve people’s lives here at home.

“So that’s what this deal is all about – facing out into the world once again, in the great tradition of this nation. Building the relationships we choose, with the partners we choose, and closing deals in the national interest. Because that is what independent, sovereign nations do.”

Scrutiny of the details

Industry leaders responded positively to the announcement, though many called for careful scrutiny of the details.

Karen Betts, Chief Executive of the Food and Drink Federation (FDF), welcomed the agreement and emphasised the importance of EU trade to the sector. “Europe is our single biggest customer, and most of the food and drink we import – from ingredients to finished products – comes from Europe too,” she said.

She acknowledged ongoing difficulties since Brexit, noting that “trade in both directions has become complex and challenging,” with exports to the EU down by a third since 2019.

“We’re pleased to see today’s announcement of a much closer UK-EU trading relationship, which acknowledges our shared high standards in food and drink,” she added.

“The government must continue to work closely with industry on the detail and ensure the UK is able to influence EU decision making where this impacts British businesses and competitiveness.”

The British agri-food sector, which has been hit hard by border disruption since Brexit, echoed those sentiments. NFU President Tom Bradshaw expressed cautious optimism about the deal but warned that “the detail is king” and noting that important questions remain about what falls within the scope of the agreement. Bradshaw also questioned whether, where current rules and regulations differ, there will be any exclusions.

He added: “We have always argued that trade with the EU must be based on equivalency. Despite the benefits this deal brings, full dynamic alignment comes at a significant cost of committing to future EU rules, in which the UK will have little say.

“We know today’s announcement is only the start of further negotiations, and we ask our government to ensure any agreements made enable a thriving future for British farming and underpin our nation’s food security.”

Retail impact

Helen Dickinson, Chief Executive of the British Retail Consortium, described the removal of veterinary checks as a win for both businesses and shoppers: “It will help keep costs down and create greater security in retail supply chains.”

Dickinson added that the new measures would ease paperwork burdens and improve the UK’s export competitiveness: “The industry remains keen to see the government and the EU continue to develop our future trading relationship for the benefit of consumers both in the UK and in Europe and the next steps should include greater alignment on environmental and product safety standards.”

Since Brexit, UK food and drink exports to the EU have fallen by 21 percent, while imports have dropped by 7 percent. The new agreement is expected to reduce costs, improve product choice, and help restore confidence in UK-EU supply chains – provided the deal delivers on its promise.