UK announces 'historic' trade deal with Gulf states in G7 first

Key Points:

• The U.K. has secured a historic trade deal with the Gulf Cooperation Council (GCC), becoming the first Group of Seven (G7) nation to do so, which is expected to boost the U.K. economy by £3.7 billion ($4.9 billion) annually and increase wages by £1.9 billion in the long term.
• The agreement will eliminate around £580 million in duties each year on current U.K. exports to the GCC, with £360 million in tariffs removed immediately upon implementation, benefiting goods like cereals, cheddar cheese, chocolate, and butter.
• The deal strengthens economic ties between the U.K. and Gulf states (Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE), reflecting long-term cooperation and solidarity, while also supporting domestic economic resilience.
• This agreement marks the fifth major trade deal under the current U.K. government, following agreements with India, the U.S., the EU, and South Korea, and provides a political boost to Prime Minister Keir Starmer amid economic pressures and leadership challenges.
• Starmer emphasized the deal as a significant win for British businesses and workers, highlighting its role in fostering trust, expanding trade opportunities, and deepening economic partnerships with the Gulf region.