Tag: Business and Trade Department

The press release issued by the Department for Business and Trade on 9 January 2024.

The press release issued by the Department for Business and Trade on 5 January 2024.

Business and Trade Secretary kicks off 2024 with trip to Turkey to boost trade.

• Kemi Badenoch visits Turkey to strengthen business links ahead of the expected launch of trade deal talks later this year
• Trip kicks off a big year of trade focused on progressing a wave of services-focused deals with countries like Turkey, Switzerland and South Korea, and the Gulf region in 2024
• Visit follows news Airbus will supply 220 planes to Turkish Airlines – one of the UK’s biggest ever export deals, worth billions of pounds and supporting thousands of jobs

Ahead of the launch of talks on an upgraded trade deal with Turkey, Trade Secretary Kemi Badenoch visits Istanbul to strengthen trade ties and kick off a year of boosting services trade.

The UK and Turkey have a thriving trading relationship, with trade up more than 17% in current prices to £26.2 billion in the year to June 2023. The two countries have an existing trade deal which covers goods but not services, digital or data – three key components of 21st century trade.

While in Istanbul the Secretary of State will meet her Turkish counterpart, Minister for Trade Ömer Bolat, to discuss how to boost UK-Turkish trade ahead of the launch of talks on an upgraded trade deal covering services and digital later in the year.

While there she will also visit Turkish Airlines, who have just contracted Airbus to supply them with 220 planes, the wings for which will be designed in Bristol and built in North Wales, with Rolls Royce supplying engines, made in Derby, for much of the fleet. The contract is one of the UK’s biggest export deals to date, worth billions of pounds to the economy and supporting thousands of skilled jobs.

Business and Trade Secretary Kemi Badenoch said:

I’m delighted to be in Turkey ahead of talks to upgrade our existing trade deal to make it fit for the 21st century.

The UK is the second biggest exporter of services in the world – UK lawyers, accountants and architects are in high demand across the globe.

With its major economy and strategic position, Turkey presents huge opportunities for UK businesses. And I’m excited to start discussions on ensuring our new trading relationship with Turkey unlocks those opportunities.

The UK’s services sector – from lawyers and accountants to engineers and financial professionals, makes up around 80% of GDP. Our services exports reached a record a high of £464 billion in the 12 months to October 2023, up 16% in current prices on the previous 12 months.

The UK has set its sights on progressing a whole host of innovative, service-focused trade deals with countries including Turkey, Switzerland, Mexico, Canada, India and South Korea, as well as the Gulf Cooperation Council, in 2024. The deals are designed to give UK companies a competitive edge in those countries, boost UK service exports even further and support jobs up and down the UK.

While in Istanbul the Secretary of State will also meet top UK and Turkish investors including Ford and Mott MacDonald to discuss how the UK and Turkey can boost investment in sectors such as manufacturing, tech and transport, building on the £8.9 billion of UK investments in Turkey and £720 million of Turkish investments in the UK.

TheCityUK Managing Director of International Nicola Watkinson said:

Turkey holds tremendous growth potential through the rising Middle East to Asia growth corridor. The UK is well-positioned to forge innovative and forward-looking trade agreements and be part of these exciting opportunities.

This visit not only demonstrates the UK’s commitment to fostering stronger economic relationships but also sets the stage for an ambitious Free Trade Agreement that promises benefits for our industry.

Mott MacDonald Group Head of Strategy Simon Harrison said:

Turkey continues to play a key geostrategic role in the world and shares the UK’s position of being a large economy adjacent to the European Union, and hence a partner with whom trade ties matter.

The UK-Turkey relationship is warm and longstanding, with many complementarities – for example UK professional services and Turkish construction are both world renowned, and these trade discussions provide an opportunity to build from a position of strength for both nations.

Background

• Trade between the UK and Turkey reached £26.2 billion in the 12 months to June 2023, making Turkey the 17th largest trading partner for the UK.
• UK services exports to Turkey in sectors such as transport, financial and other business services increased by 57% in current prices in the 12 months to June 2023.
• While in Istanbul the Secretary of State will also:
  • Launch a £1 billion loan guarantee from UK Export Finance for the construction of a new 140km high-speed railway in Turkey, which is expected to create new, multimillion-pound contract opportunities for the UK’s manufacturing sector,
  • Sign an MoU on third-country collaboration which could mean more opportunities for UK companies to support joint UK-Turkey projects such as the recent deal to develop 350km of drainage infrastructure in Iraq, to which UKEF will contribute £226 million,
  • Announce Turkey as a priority country under the UK’s International Science Partnership Fund (ISPF) – opening the way for the best of the UK and Turkey’s scientists and innovators to partner together and bid into a £337 million global fund, and
  • Conclude the review and update of the Technical Barriers to Trade chapter of the existing UK-Turkey goods-only FTA, which will help to facilitate goods trade, for example for motor vehicles and chemicals, between the UK and Turkey by helping to reduce or eliminate regulatory barriers.
• UKEF is an export credit agency operating at no net cost to the UK taxpayer. For their most recent announcement, please see the gov.uk release: https://www.gov.uk/government/news/mufg-and-export-credit-agencies-unlock-12bn-financing-for-turkish-electric-railway

The press release issued by the Department for Business and Trade on 29 December 2023.

Secretary of State for Business and Trade congratulates those honoured.

The press release issued by the Department for Business and Trade on 28 December 2023.

Exports of British festive treats to CPTPP countries have increased significantly.

• Sales of British festive treats including chocolate, gin, whisky and sparkling wine to CPTPP countries are up significantly this year
• Under CPTPP and existing trade deals tariffs on these festive products will be 0%
• Scotch Whisky to Singapore has increased by 31% and by 43% to Malaysia, while UK sparkling wine exports to Japan have increased by 140%

UK food and drink exporters are toasting success this Christmas as demand from consumers in CPTPP, the massive trade bloc in the Indo-Pacific the UK signed up to in July, has boomed ahead of the festive season.

Latest figures show luxury British staples such as Scotch Whisky, chocolate and sparkling wine are being ordered en masse by CPTPP countries including Singapore, Japan, Mexico and Malaysia. Over the past year, UK chocolate exports to Singapore have increased by 220% in current prices to over £26 million while UK sparkling wine exports to Japan have increased by 140% to over £26 million.

The Indo-Pacific region is set to account for the majority of global growth and around half of the world’s middle-class consumers in the decades to come, presenting huge opportunities for UK businesses. Under CPTPP, which the UK is set to formally join next year, tariffs on 99% of UK goods exports such as chocolate to Mexico and Malaysia will be 0%, helping drive even more export success.

Scotch Whisky continues to dominate the Singapore market, with over £380 million worth of Scotch Whisky exported from the UK to Singapore over the last year, an increase of 31% (£90 million) in current prices on the previous year. Its huge popularity extends to other markets in CPTPP, with a 43% (£11 million) increase of Scotch Whisky exports to Malaysia over the past year.

Business and Trade Secretary Kemi Badenoch said:

This Christmas our fantastic British food and drink producers are already reaping the rewards of the UK’s tilt towards the Indo-Pacific, with high demand in fast-growing economies such as Singapore and Malaysia for our world-renowned festive staples.

Once we become a fully-fledged CPTPP member, tariffs on more than 99% of UK goods will be set at 0%, ensuring even more people across the globe will be able to celebrate next Christmas with a glass of English sparkling wine or dram of Scotch whisky.”

Scotch Whisky Association Chief Executive, Mark Kent said:

Exports of Scotch Whisky to the CPTPP countries have grown significantly in the past decade, collectively reaching more than £1.1bn in 2022.

The UK’s accession to CPTPP will open up new opportunities for Scotch Whisky and other UK products in key markets in the region, including the phased elimination of Malaysia’s import tariff.

With the potential for more countries to join CPTPP in the coming years, Scotch Whisky will benefit from further liberalisation in the region.”

Jonathan Brenton Director of Public Affairs for Pernod Ricard UK, Pernod Ricard Global Travel Retail and Chivas Brothers said:

We are excited by UK’s entry into the CPTPP. The Pacific rim is already the world’s most economically dynamic region and five CPTPP members are in the top 20 markets for our Scotch whiskies.

CPTPP will reduce whisky tariffs in Malaysia to zero and will help us leverage the growing middle class and a trend towards premium products and cocktail culture in other Southeast Asian countries like Vietnam.”

Isle of Harris distillers are one such business who have been leading the charge in not just CPTPP markets but across the world too, so that now even more people can sample their award-winning gin and whisky. Singapore is also a big market for the UK gin industry, with enthusiasm for gin and tonic and the Singapore Sling driving a 56% (£3 million) increase in current prices in UK gin exports to the country over the past year.

Peter Kwasniewski, International Business Development Manager at Isle of Harris Distillers Ltd. said:

Exporting is a great way for a business to grow sustainably and at faster rate than just domestically and exporting to CPTPP is becoming an increasingly important part of our business, and we’ve seen an encouraging boost to our sales to member countries over the past year.

Consumers worldwide are looking at drinking less but higher quality products. There is a clear demand for super premium quality products such as the Harris Gin and The Hearach – Single Malt Whisky we distil, and once Britain becomes a full-member of the trading bloc this should only improve things further with making the products more easily accessible to international consumers .”

Singapore is not the only country with an increasing taste for British alcohol. For Kent-based Balfour Wines, Japan – which buys more sparkling wine from the UK than any other CPTPP country – is by far their biggest market, totalling 35% of sales. Japanese customers have uncorked more than £26 million worth of sparkling wine from the UK over the past year, up 140% (£15 million) in current prices on the previous year, and this could grow further when we join CPTPP and word of this first-class product spreads.

Adam Williams, COO and Sales Director of Balfour Wines said:

As a category, we are at the early stages in our export journey, but it’s clear that Japan is a hugely exciting market for English Wine.

It is a mature market for premium wine, especially for high-quality sparkling wine, something that English wineries rightly have a worldwide reputation for.

We’re looking forward to working closely in the market to build awareness of our wine.”

Hampshire-based chocolate manufacturer Summerdown is another business enjoying new success after taking advantage of the UK’s recent trade deals. Their award-winning peppermint chocolates have hit shelves in Singapore, where the UK exported over £26 million of chocolate over the past year. With its large expat community, Singapore’s demand for British chocolate has reached new heights, sparking a 220% (£18 million) increase in current prices in exports to the country over the past year.

Chief Mint Officer for Summerdown Jo Colman said:

At Summerdown, knowing our products are being enjoyed around the world brings us enormous pride. Seeing what we are creating from my family’s farm in Hampshire sold on the shelves of the world’s best food halls from Singapore to Sydney will never not be exciting.

The support we have received from DBT over the years in these key markets has always been invaluable in enabling us to focus on promoting and extolling the virtues of what makes everything we sell so special – our Black Mitcham peppermint.”

Analysis reveals estimated £745 million surge for food and drink sector as the UK dismantles trade barriers, propelling British goods to global markets. This includes around £440 million in fresh opportunities for UK alcohol exporters.

Background

• All figures in this release are in current prices, and any increases compare the 12 months to October 2023 to the previous 12 months.
• Data for UK chocolate and sparkling wine exports was sourced from HMRC’s UK Overseas Trade in Goods Statistics, October 2023: https://www.gov.uk/government/statistics/uk-overseas-trade-in-goods-statistics-october-2023.
• Chocolate has been defined in the data as HS6 180620, HS6 180631, HS6 180632, and HS6 180690, sparkling wine has been defined as HS6 220410, Scotch Whisky has been defined as CN8 22083030, 22083041, 22083049, 22083061, 22083069, 22083071, 22083079, and gin has been defined as HS6 220850.
• All exports figures compare the 12 months to October 2023 to the previous 12 months in current prices.
• Not all UK exports of food and drink products are produced in the UK. Figures include products that have been re-exported by the UK.
• The Digital Market Access Service (DMAS) is the internal government database of trade barriers facing UK businesses that enables closer collaboration across government in Whitehall and at overseas Posts to analyse and progress action to try and resolve them where feasible.
• DMAS is not a comprehensive repository of all market access issues facing UK exporters, and reporting rates vary widely across countries and regions. As such, aggregate figures should be interpreted as an indicative estimate based on a selective sample.
• Aggregate figures on the total value of barriers resolved are based on DBT analysis of specific market access, using the methodologies set out in the DBT analytical working paper. To calculate the aggregate figures, the mid-point for each valuation range is added to provide a central estimate. Further details on the methodology for the aggregate valuation figures are published in the DBT analytical working paper.
• All individual barrier valuation figures presented are midpoints of a valuation range, and not an exact point estimate.

The press release issued by Department for Business and Trade on 27 December 2023.

‘Pint’ size wine stocked on Britain’s shelves for the first time ever thanks to new freedoms from leaving the European Union

• ‘Pint’ size wine stocked on Britain’s shelves for the first time ever thanks to new freedoms from leaving the European Union
• Still and sparkling wine to be sold in 200ml, 500ml and 568ml ‘pint’ sizes in 2024
• 900 British vineyards set to benefit across the country from new freedoms

Brits will soon be able to purchase ‘pint’ sized bottles of still and sparkling wine, as a new 568ml size is introduced to Britain’s supermarket shelves, pubs, clubs and restaurants, the Department for Business and Trade has announced today (27th December). The move to introduce the 568ml size would sit alongside the 200ml and 500ml measures already available, offering more flexibility and choice for customers.

The UK’s wine sector is set for the boost as part of the Government’s smarter regulation programme to ensure regulations are up to date and agile,. The move comes following engagement with the industry, with businesses now being able to sell prepacked still and sparkling wine in 500ml and 200ml sizes as well as a new 568ml ‘pint’ quantity.

900 vineyards are set to benefit from the new freedoms, boosting production and supporting British businesses, which currently produce around 12.2 million bottles of still or sparkling wine a year*.

These optional reforms from Government are thanks to our new Brexit freedoms via the Retained EU Law (Revocation and Reform) Act 2023 and are wholeheartedly backed by industry wanting to reduce burdensome regulations. The changes will help to boost innovation, increase business freedoms and improve choice for consumers.

Minister for Enterprise, Markets and Small Business Kevin Hollinrake said:

Innovation, freedom and choice – that’s what today’s announcement gives to producers and consumers alike.

Our exit from the EU was all about moments just like this, where we can seize new opportunities and provide a real boost to our great British wineries and further growing the economy.

Nicola Bates, CEO of WineGB said:

We welcome the chance to be able to harmonise still and sparkling bottle sizes and we are happy to raise a glass to the greater choice that allows UK producers for domestic sales.

The Windsor Framework also means that newly packaged wine will be able to be sold by bars, restaurants and retailers in Northern Ireland – with products able to move in what is known as the retail “Green Lane”, under the Northern Ireland Retail Movement Scheme.

In addition to announcing the deregulatory measure on wine, the Government has published a response to the consultation Choice on units of measurement: markings and sales. Following the extensive consultation, the Government has decided not to introduce any new legislation in this area. But new guidance has been issued to promote awareness and use of imperial measurements.

The Government will continue to keep this legislative framework under consideration, as part of a wider review of metrology EU derived legislation.

The press release issued by the Department for Business and Trade on 24 December 2023.

Latest figures show toy and bike exports are worth £640 million, with CPTPP membership to make it even easier for British businesses to export children’s presents to the region next Christmas.

British toy and bike manufacturers are currently making gifts to load on Santa’s sleigh for delivery all round the world, in part thanks to the UK’s new free trade agreements (FTAs).

The UK is a major manufacturing nation, making us one of “Santa’s biggest workshops”. The toy sector is part of that success story – exports of toys and bikes were worth £640 million in the year ending October 2023.

Australia, New Zealand and Japan are just some of the countries snapping up British-made products, with around £36 million of toys exported to these countries in 2022. Thanks to our FTAs it’s even easier for people in those countries to buy world-class British products.

The UK also recently signed a deal to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), a major trade bloc in the Indo-Pacific. Joining CPTPP means that over 99% of current UK goods exports, including toys and bikes, to CPTPP members will be eligible for tariff-free trade.

Minister for International Trade Greg Hands said:

The UK is world-renowned for its high-quality products and manufacturing prowess, so it’s no surprise the UK is one of Santa’s biggest workshops, with British-made presents flying off the shelves to fill stockings around the world.

I’m delighted our post-Brexit trade agreements are making it easier for British companies to help Santa check off Christmas lists in Australia and New Zealand this year.

Welsh-based Dr Zigs Extraordinary Bubbles, who manufacture and sell sustainable bubbles, has seen a huge increase in sales, with exports now at £30,000 a year and set to grow next year.

There has been a huge demand for Dr Zigs products in Australia, so much so that they will soon be sold on Amazon Australia. This was made possible by the UK-Australia FTA which helped them to access a new distributor. Dr Zigs’ next shipment of products will be going out to Australia just in time for Christmas.

Dr Zigs Extraordinary Bubbles CEO and Export Champion Paola Dyboski said:

We’re proud to be exporting our UK made toys across the world. We’re very busy working on Santa’s orders and making sure that our toys are in stores for Spring/Summer ‘24, including new inventions.

Wherever possible we make full use of existing trade agreements, specifically with Australia. This simplified system really helps financially and in terms of bureaucracy. We hope to see the same benefits for the CPTPP countries we export to.

We’ve just come back from the New York Toy Fair and are now preparing to exhibit at the world-famous Spielwarenmesse, one of the biggest toy fairs in the world! The funding we receive from DBT is a huge enabler for small UK companies to be visible on a global stage.

Traditional soft toys aren’t being left behind either. Over the last year, this sector has seen large increases in exports to FTA countries including Australia, New Zealand, Chile, Singapore and Mexico.

This is great news for Merrythought, a Shropshire-based company making and selling teddy bears to countries around the world including Australia, New Zealand and Canada.

Following the introduction of the UK-Australia trade deal earlier this year, import duties on goods like stuffed toys have been cut from 4% to 0%, which will help Merrythought build on their already huge 600% increase in sales over the last four years.

Merrythought Managing Director Sarah Holmes said:

As a traditional manufacturer of the finest teddy bears – the only one of our kind in the UK – we are pleased to have access to free trade within the CPTPP bloc, and with the support of DBT, we hope to continue increasing our sales, particularly in Australia, Canada and New Zealand.

Ascot-based Frog Bikes, who design and manufacture lightweight children’s bikes in Wales, are just one of the many UK companies exporting to CPTPP countries including Singapore, where bicycle exports from the UK have increased by a whopping 255% (almost £4 million in current prices) over the last five years.

Exports make up 45% of Frog Bikes sales, and they have plans to go even further. With over 50 countries already on their exporting list, they plan to expand sales to CPTPP countries ahead of the deal coming into force.

Frog Bikes Chief Frog and Export Champion Jerry Lawson said:

Our journey at Frog Bikes has been one of constant evolution and expansion. We envision expanded exports to countries like Singapore and Canada, anticipating the benefits of CPTPP.

The support from DBT and the Welsh Government has been invaluable, solidifying our presence in Norway and facilitating our US launch in 2016.

As we continue to leverage these opportunities and collaborations, Frog Bikes remains committed to fostering fair trade agreements, protecting local manufacturing, and ensuring sustainable practices within the cycling industry.

The press release issued by Department for Business and Trade on 22 December 2023.

The UK’s trade deal with Australia is ringing in festive cheer this year, having helped British music companies expand Down Under ahead of the festive period.

The UK’s free trade agreement with Australia is ringing in festive cheer this year, having slashed tariffs and helped British music companies expand Down Under ahead of the lucrative festive period.

Backed by British legends Sir Elton John and Sir Paul McCartney, London-based music tech company Audoo produce smart listening devices, or Audio Meters, which are placed in pubs, shops and bars to identify when and where music is being played and ensure musicians are paid for that play.

The UK’s trade deal with Australia has made exporting for Audoo easier, slashing tariffs on their product, simplifying paperwork and speeding up the customs process. This has helped them more than double the number of Audio Meters found in Aussie venues, rolling them out across all major cities including Brisbane, Sydney, Canberra, Melbourne and Adelaide, ensuring musicians are paid fairly over the festive period – a key time for sales.

British Christmas bangers feature heavily during Australia’s festive period, with three of the top 10 songs last year featuring UK artists.

According to Bloomberg, in 2018 artists and record companies were losing out on almost $3 billion in unaccounted royalties each year.

Minister for Trade Policy Greg Hands said:

British music is rocking around the world’s Christmas trees for a reason and Australia is no exception, with our iconic tunes ringing out across Aussie cities over the festive period.

All our music artists really want for Christmas is to get the payment they deserve, regardless of where their song is being played. Our trade deal with Australia makes it easier for businesses like Audoo to expand Down Under and fill our stars’ stockings with well-earned royalties.

Audoo Founder & CEO Ryan Edwards said:

Launching across Australia has been a major step in our journey as a proud British business growing on a global scale. The free trade agreement helped us accelerate our implementation ensuring our mission to deliver accurate data for fair royalty distribution.

Melbourne took the crown as the most festive Aussie city in 2022, with Christmas songs accounting for 34% of all music played from November to December 31st, rising to 43% in December.

The UK-Australia free trade agreement came into force in May 2023 and under its beneficial terms tariffs on all UK goods exports to Australia have or will be removed, making UK products more competitive in the Australian market.

This is the first trade deal that the UK has negotiated from scratch since leaving the European Union and is expected to increase trade with Australia by 53%, boost the economy by £2.3 billion and add £900 million to household wages each year in the long run.

The deal also cuts red tape that was faced by more than 13,000 small and medium-sized businesses across the UK who already export goods to Australia, ensuring goods leave customs quickly.

The press release issued by the Department for Business and Trade on 19 December 2023.

The government has today announced that circa £138m has so far been paid out to over 2,700 claimants across the three Post Office compensation schemes.

The government has today [Tuesday 19 December] announced that circa £138m has so far been paid out to over 2,700 claimants across the three Post Office compensation schemes.

These figures have been announced as part of the government’s Post Office Compensation Bill which is expected to conclude its passage through the House of Commons today.

So far, 93 convictions have been overturned and it has been confirmed that the first 27 claims have agreed full and final settlements.

There has also been progress made on payments made for the 500 trailblazing postmasters who took the Post Office to court and exposed the Horizon Scandal has already paid out £27 million across 475 claimants. This includes 11 full and final settlements. A further 10 full and final settlements have been accepted, bringing the total number of accepted full and final settlements to 21.

The full 2,417 postmasters who claimed through the original Horizon Shortfall Scheme have now all had offers of compensation. £87 million has been paid out. The Post Office is now dealing with late applications and with those cases where the initial offer was not accepted.

Minister for Postal Affairs Kevin Hollinrake said:

Today’s new data on Post Office compensation is a step in the right direction to making sure every postmaster gets the justice and compensation that they have waited too long for.

It is important that everyone knows the truth about what happened, and that steps are being taken to right the wrongs of the past. Truth and accountability are one part of providing justice, and the other part is compensation.

The Post Office Horizon Scandal started in the 1990s and its impacts are still felt today.

This government is committed to delivering justice for all Horizon victims, which is why it set up the statutory inquiry chaired by Sir Wyn Williams.

We have also created the Horizon Compensation Advisory Board to help make sure all compensation is fair and just. Reports from the Advisory Board are published on gov.uk.

After today, the Post Office Compensation Bill, which will allow compensation to be paid under the Group Litigation Order (GLO) scheme past the 2024 deadline if needed, is expected to progress to the House of Lords for debate before securing Royal Assent in the new year.

Notes to editors:

• Information on GLO scheme correct as of 19 December and data on HSS and OC correct as of 18 December.
• Circa £138m in compensation paid includes:
  • Horizon Shortfall Scheme (HSS): £87 million (including late claims)
  • Group Litigation Order (GLO) Scheme: £27 million total value of all payments including interim payments
  • Overturned Convictions (OC): £24 million total value of all payments including partial settlements and further interim payments
• Figures are rounded to the nearest £1m.
• Over 2,700 claimants receiving payments across Post Office compensation schemes includes those receiving interim and partial payments as well as full and final awards.
• Data on Post Office compensation schemes is available at https://www.gov.uk/government/publications/post-office-horizon-compensation-data-for-2023. See notes for tables for further details.

The press release issued by the Department for Business and Trade on 12 December 2023.

Exports Minister will lead renewable energy companies to meet Chilean government and business officials.

• British expertise and services can boost Chile’s ambitions to develop its renewable energy capability
• Chile is one of the UK’s most important trading partners in Latin America and a fellow member of CPTPP

Exports Minister Lord Offord has today [12/12/2023] landed in Santiago, Chile where he is leading a trade mission of British hydrogen and renewable energy companies to match them with business opportunities in the country.

The businesses will be introduced to key Chilean developers and prospective customers at a showcase event hosted in Santiago. The Minister will also be meeting with Chilean developers to better understand their needs and promote how British companies can meet these.

Lord Offord will meet with Chilean Minister for Energy Diego Pardow, and Minister for Economy Nicolás Grau, to discuss how Chile and the UK can work together to boost trade and support the transition to renewable energy sources.

Minister for Exports Malcolm Offord said:

With Chile’s ambition to boost its renewable energy infrastructure, and the UK’s expertise and capabilities in this field, there is a clear opportunity for both our countries to benefit and prosper.

Chile is one of our most important trading partners in Latin America and with our upcoming accession to CPTPP I want to see trade between us boosted even further.

The trade agreement with Chile was particularly important to the UK, being the first one signed in 2019. With the UK joining the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) of which Chile is a member, this trading relationship will continue to grow with businesses in both countries being able to choose the most beneficial agreement to trade under.

Total trade in goods and services between the UK and Chile in the last year grew by over 13%, reaching £1.9bn. The UK government aims to continue to grow this trading partnership, particularly by supporting Chile to harness its potential in renewables, including low carbon hydrogen, with the world leading expertise from UK companies.

CPTPP will cut tariffs for goods exporters and provide new opportunities and improved access for services industries, enhancing the bilateral relationship in key sectors such as energy and infrastructure services.

Chile is a key player in the global race to decarbonise, holding huge reserves of copper and lithium, as well as leading the region in renewable energy development. That’s why so many UK companies are eager to do business in the energy and infrastructure sectors.

Patricio Maguire, Director of Turner and Townsend Chile said:

Chile and UK share a long history of cooperation. Green hydrogen and carbon capture industries are another examples of new areas of integration. While Chile has a vast stock of clean energy resources and a mature industrial environment, UK is a leading actor in the decarbonisation industry and, in particular, offers top notch technologies in electrolysis for H2 production.

As the local branch of a global UK-based consultancy firm, we, at Turner & Townsend are proud to be part of the energy transition industry and look forward to continue to provide our expertise and global footprint at the service of their actors.

Tom Wills, Development Director at Voar Energy said:

We are delighted to be participating in this UK trade mission at such an important moment in Chile’s energy transition.

Chile is set to be a world leader in green hydrogen and at Voar we’re keen to develop relationships with others active in that area, with a particular focus on Power-to-X projects in remote locations and green bunkering / fuel systems for ships.

Agustin Lopez Munell, CEO of Desitec who are moving their HQ from Argentina to the UK said:

We are honoured to join the Renewable Energy Trade Mission to Chile. This mission perfectly aligns with our goals to expand our innovative sensor technology into new markets as we transition our headquarters from Argentina to UK, specifically London or Edinburgh. Our goal is to continue educating ourselves about hydrogen and to seek partners with whom we can collaborate on our developments.

The press release issued by the Department for Business and Trade on 2 December 2023.

Small Business Minister Kevin Hollinrake urges everyone to support their local small businesses.

• Targeted government intervention is addressing gaps in accessing finance from traditional lenders to help them scale up and grow

Small Business Minister Kevin Hollinrake has urged everyone to go out and support their local small businesses this Small Business Saturday [02/12/2023].

Small Business Saturday is an initiative which encourages consumers to shop locally and support small businesses in their communities and it falls on the first Saturday of December.

In a call to action the Minister said:

I urge everyone to join me in supporting our local small businesses this Small Business Saturday. The best support we can give them is to shop local this festive season.

Every penny spent at your local small business is an investment in your community.

Prime Minister Rishi Sunak welcomed small businesses, charities and local communities to Downing Street for a Christmas Market Festive Showcase on Thursday 30th November ahead of Small Business Saturday, and Minister Hollinrake was able to meet with some of the businesses beforehand.

Engagement with Small Businesses is a government priority, and Minister Hollinrake was able to discuss the important topics of accessing finance as an SME, as well as the issue of late payments, which some of the businesses reported had improved since the Department of Business and Trade published the Prompt Payment and Cash Flow Review, signalling clear government intent to back small businesses in this issue.

Supporting small businesses to scale up and grow is a clear government priority. The Chancellor’s Autumn Statement had a clear focus on growth, creating a favourable business environment that keeps more money in consumer’s pockets and reduces costs for businesses, creating the right environment for businesses to start and scale up. The increase to the National Living Wage to £11.44 an hour, as well as cutting taxes for 29 million workers, increases consumer’ spending power, whilst businesses are supported by a £4.3 billion business rates package.

The government backed British Business Bank is supporting £12.4 billion of finance to over 90,000 businesses across the UK, of which 86% are outside London. The Bank is delivering a £1.6 billion programme of Nations and Regions Investment Funds, to support growing businesses outside London and South East. Funds covering the South West, Scotland, Northern Ireland and Wales have launched earlier this year, with more to follow. It has issued over 100,000 Start Up Loans since 2012 providing over £1 billion for entrepreneurs at the start of their growth journey, 40% of whom are women and 21% from an ethnic minority background.

UK Export Finance, the government’s export credit agency also provides government backed guarantees on financial products through banking partners. It was recently announced at their customer conference that it is introducing more flexible, fast-track financing for small businesses – making it easier than ever for UK firms to sell in international markets.

Additional Information

• The Department for Business and Trade published the Prompt Payment and Cash Flow Review on GOV.UK here: https://www.gov.uk/government/publications/prompt-payment-and-cash-flow-review
• UK Export Finance recently announced their extra support for SME exporters on GOV.UK here: https://www.gov.uk/government/news/uk-export-finance-unveils-extra-support-for-sme-exporters