Today, I'm delighted to tell constituents we have agreed a historic new free-trade agreement with our close friends and allies Australia, which signals a new dawn in our relationship, underpinned by our shared history and common values.
This is the first major trade deal negotiated from scratch since we left the EU – which will create fantastic opportunities for British businesses and consumers in Mid Sussex and across the UK, removing tariffs on all British goods, opening up new markets for our services providers and tech firms, and making it easier for people to travel and work together.
In a rural constituency like Mid Sussex, I can understand why constituents want to be assured this deal will not negatively affect our local, British farmers, So I am pleased to say our farmers will be protected by a cap on tariff-free imports for 15 years, using tariff rate quotas and other safeguards. We are also supporting agricultural producers to increase their exports overseas, including to new markets in the Indo-Pacific.
I also want to just summarise the 10 key benefits of this fantastic new trade deal:
- Delivering tariff-free trade for all British goods. The deal removes tariffs on £4.3 billion of exports, making it cheaper to sell iconic products like cars, Scotch whisky and ceramics into Australia – supporting 3.5 million jobs across the country. Car makers in the Midlands and the North of England will also benefit.
- Making it easier for Brits to travel and work in Australia. British people under the age of 35 will be able to travel and work in Australia for up to three years, opening up major opportunities for younger people. Highly skilled professionals will now be able to work in Australia temporarily, and Aussie firms will no longer have to prioritise hiring Australian nationals first.
- Delivering lower prices and more choice for British shoppers. The elimination of tariffs on Australian favourites like Jacob’s Creek and Hardys wines, TimTams and Vegemite will boost choice for British consumers and save British households up to £34 million a year.
- Enhancing access for British tech companies. The deal will create opportunities for the UK’s cutting edge digital and tech sectors, preparing us to lead in industries of the future like AI, space exploration and low emissions technology.
- Making it easier for lawyers and other professionals to work in Australia without re-qualifying. UK lawyers will be able to practice in Australia without having to requalify as an Australian lawyer. The deal will allow for the recognition of UK professional qualifications across many sectors, creating opportunity for our professionals while allowing British companies to attract and retain global talent.
- Boosting UK services industries. The UK exported £5.4 billion worth of services to Australia in 2020 accounting for more for 56 per cent of our total exports to the country. The combined effect of the deal’s cutting-edge provisions, allowing UK and Australian service professionals access to each other’s markets, and reduced barriers to investment will give a substantial lift to the UK’s service sectors.
- Slashing red tape for entrepreneurs and small business. Red tape and bureaucracy will be torn down for more than 13,000 small businesses across the length and breadth of the UK who already export goods to Australia. The agreement will deliver quicker export times and ensure small business have access to new intelligence that will better allow them to seize the opportunities created by the deal.
- Creating access to billions of pounds worth of new opportunities for UK firms. British companies will now be able to bid for additional Australian government contracts. It is the most substantial level of access Australia has ever granted in a free trade agreement, including in transport and financial services.
- Strengthening cooperation on shared challenges. Australia is a like-minded democracy that shares our belief in free enterprise, the rule of law, and high standards in areas like labour, animal welfare, gender equality and the environment. The deal will uphold these high standards and foster collaboration on challenges like tackling climate change and unfair trading practices.
- Paving the way to CPTPP. Australia strongly supports UK membership of CPTPP, which would further open up eleven Pacific markets worth £9 trillion. CPTPP membership will secure British exports superior access to these growing markets, with one third of middle class consumers expected to be in Asia by 2030.
For more detail, please click the following link: UK agrees historic trade deal with Australia - GOV.UK (www.gov.uk)