Cliff Notes – Brexit reset deal: A TBC agreement with a lot still to be worked out with EU

Sir Keir Starmer described the new UK-EU Cooperation Agreement as a “landmark deal,” with potential economic contributions estimated at £90 billion by 2040, though the specifics remain to be confirmed.
Key elements of the deal include provisions on agri-food, fishing rights, and security partnerships, but also require alignment with EU standards, raising concerns among some Brexit supporters about returning to being a “rule taker.”
Negotiations may continue for some time as details regarding trade-offs, costs, and operationalisation of e-Gates for travellers are yet to be fully resolved.

Brexit reset deal: A TBC agreement with a lot still to be worked out with EU

Sir Keir Starmer used the opulent surroundings of London‘s Lancaster House to declare with certainty that this is a “landmark deal” that will grow the British Economy and put money in people’s pockets.

It is evidence, the prime minister said, of Britain back on the world stage. European Commission president Ursula von der Leyen and European Council president Antonio Costa addressed him as “dear Keir”. Times have changed.

Minister claims UK-EU deal could add £90bn to British economy

Symbolically – nearly a decade after Brexit and all the battles and feuds which followed – it is a big moment to see a prime minister warming up relations with the EU.

But when you read the nine-page Cooperation Agreement, it is very clear this is just the starter, not the full meal; the opening scene rather than the final curtain. In other words, most of what the government says are negotiated wins are in fact TBC.

The deal covers agri-food; fishing, defence, energy and passport checks. The government claims it will add nearly £9bn (around 0.3% of GDP) to the British economy by 2040.

A security and defence partnership has been struck; trumpeted as a way UK defence firms can access the EU’s £150bn procurement fund. The text only says the UK and EU “should swiftly explore the possibilities”, of doing so. Starmer said it would “open the door” for UK firms to benefit, but the UK is not inside the door yet.

On trade, the UK government sees the big wins economically – but there are costs and trade-offs. The food deal – or to give it its full name the sanitary and phytosanitary (SPS) agreement – would eliminate some of the barriers to trade erected during Brexit.

Paperwork has undoubtedly held up exports, and some products, such as sausages, other cold meats and shellfish, cannot be sold to the EU. The idea is this red tape would be swept away – which has been welcomed by retailers, supermarkets and food processors, who say it will cut prices at the tills.

But this comes with conditions – admin costs; and the need to align with EU rules and standards now and into the future.