Middle East Economy | 21 October 2025
GCC and UK intensify free trade deal negotiations, discuss establishing new joint action plan
By Yara Abi Farraj
GCC Secretary General Jasem Al-Budaiwi recently met with UK Secretary of State for Business and Trade Peter Kyle and Minister of State for Trade Affairs Chris Bryant to review the latest developments in the Free Trade Agreement (FTA) negotiations between the GCC and the UK.
Al-Budaiwi stressed the importance of intensifying joint efforts from both sides and working to align all viewpoints on all remaining matters in the negotiation process. He also noted that the free trade agreement between the GCC and the UK would contribute significantly to enhancing trade and economic relations between the two sides and open new horizons for cooperation in various fields.
Officials discuss establishing new joint action plan
During their meeting in London, the officials also reviewed relations between the GCC and the UK under the framework of the Strategic Partnership, and ways to develop and enhance them to serve common interests. They followed up on the latest developments in the free trade agreement negotiations between the GCC and the UK, as well as discussing the establishment of a new joint action plan between the two sides.
The officials also exchanged views on the latest regional and international developments, most notably the situation in the Gaza Strip. They agreed on the importance of supporting all regional and international efforts for a ceasefire to enhance security and stability in Gaza and the occupied Palestinian territories.
GCC-UK Free Trade Agreement talks progress
The ongoing GCC-UK Free Trade Agreement (FTA) negotiations launched on June 22, 2022. This deal is expected to further strengthen bilateral relations and the strategic economic relationship between the UK and GCC. Earlier this year, the former UK Minister for Investment Baroness Poppy Gustafsson stated that negotiations have been progressing at pace and the two sides are having constructive discussions on goods, services and sustainable trade provisions.
It is estimated that the GCC-UK deal could increase bilateral trade by 16 percent, adding an extra $10.85 billion per year to trade between the UK and GCC countries in the long run. The UK and GCC’s bilateral trade currently amounts to around $72.41 billion.
Speaking to QNA, Gustafsson described Qatar as a key market for the UK both for trade and investment because of its dynamic and diversifying economy, and the wide variety of growth areas identified in its National Vision 2030. The two countries share a robust and flourishing economic partnership, with total trade in goods and services reaching $7.06 billion in the first three quarters of 2024.
During her recent visit to Saudi Arabia, Gustafsson noted that the UK is genuinely committed to enhancing its trade ties with the Kingdom. Bilateral trade between Saudi Arabia and the UK soared to $21 billion in 2023, with a comprehensive free trade agreement between the U.K. and the GCC on the horizon, poised to further boost trade.
