EU-UK Trade Reset: Key Recommendations for Future Cooperation

Executive Summary

The United Kingdom and the European Union are resetting their relationship. An EU-UK Summit is planned for the first half of 2025. By then, the implications for trade under the EU-UK Trade and Cooperation Agreement (TCA) will be clearer.

Improving trade relations is in the interest of both parties. The UK is the EU’s second largest trading partner. This Policy Brief outlines key recommendations for the trade reset:

1. Create a New Ministerial Forum

   This forum will enhance cooperation on global trade and economic challenges.

2. Negotiate Three Legally Binding Agreements

   The agreements will focus on:

   • Veterinary standards
   • Linking emissions trading systems
   • Youth mobility and cultural exchange
3. Establish a Regulatory Cooperation Framework

   This framework will strengthen how the EU and UK work together on regulations.

These recommendations aim to build a stronger EU-UK trade relationship. The proposed agreements may not have a large economic impact individually, but they will help rebuild trust and facilitate trade. The new regulatory framework could have a larger impact if it leads to compatible regulations.

About the Author

Ignacio Garcia Bercero joined Bruegel as a Non-resident fellow in September 2024.