“More trade and a growing economy” – that’s what joining the £9 trillion Indo-Pacific trading bloc will deliver Rachel has said.
Today (March 31st), the United Kingdom has secured its membership in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
The CPTPP trade bloc includes Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam. The UK will be the first European member and the first new member since the CPTPP's creation. With the addition of the UK, the bloc will represent 15% of global GDP and be home to over 500 million people.
This marks the most significant trade deal since the UK left the European Union and will open doors for billions of pounds in additional exports in goods and services across the 11 member nations.
By joining CPTPP, it will boost the UK economy by £1.8 billion and forecasts predict that total UK wages will rise by £800 million compared to 2019 levels as a result.
It also means zero tariffs on trade. More than 99% of UK goods exports to CPTPP countries will now be eligible for zero tariffs.
Red tape for UK service providers will be slashed. From accounting to insurance, the UK is the world’s second largest services provider, accounting for 43% of our trade with CPTPP members last year. As a member of the bloc, UK firms will not be required to establish a local office or be resident to supply a service and will be able to operate on a par with local firms.
This major milestone will create jobs and new opportunities for businesses in Redditch and across the UK.
Rachel said:
“Joining this £9 trillion trading block will help the UK unlock the benefits of Brexit for people in Redditch and across the UK, giving us greater trade access with some of the world’s fastest-growing economies.
“Whilst some continue to talk our country down, this Government is getting on with delivering more trade and a growing economy – creating more opportunities for local businesses and improving the lives of people in Redditch.”
