Trade between the UK and Europe has been shaped by geography, shared supply chains and decades of economic integration. Through changes of government, the commercial ties between them have remained deep and structurally significant.
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Now, as both sides navigate a more volatile global environment, the focus is firmly on strengthening cooperation.
Ceri Morgan, His Majesty’s Trade Commissioner for Europe, talked to Euronews about the next chapter in relations between the UK and Europe – and why she believes the current moment is about consolidation rather than reinvention.
The relationship starts from “a very strong base”, she explains, with Europe still the UK’s largest export market, and one that “continues to grow in a number of sectors.” UK exports to the EU are valued at £388 billion, representing 42 per cent of UK total exports.
This ‘trade reset’ is a renewed effort to reduce trade friction, strengthen regulatory cooperation and deepen bilateral partnerships with key European economies. The focus is on creating practical frameworks that make it easier for businesses to invest and collaborate across borders.
But Morgan suggests the reset is not only about trade volumes. It is also about creating a more stable and predictable environment for investors and exporters. In her view, the past year has brought a clear improvement in political tone – something she believes is now filtering into business confidence.
For example, French businesses invested more than £1 billion into the UK on the day the Industrial Strategy Partnership was announced at the UK-France Summit in July 2025.
That optimism is not confined to summit rooms, but increasingly reflected in boardrooms too. European businesses, she says, “are hearing this message of a strong relationship moving forward. This is good for investor confidence. This is also good for long-term business decisions.”
For companies considering expansion or restructuring, political predictability and regulatory clarity matter. Morgan points to ongoing discussions around regulatory alignment and clearer frameworks in sectors such as energy and advanced technology as examples of how the reset is becoming more practical.
The UK’s Industrial Strategy
Asked where the opportunities lie, Morgan refers to the UK’s Industrial Strategy, and the sectors where Great Britain and Northern Ireland intend to concentrate investment and export strength. These include life sciences, tech and digital, where “we have some of the strongest infrastructure emerging in Europe.”
The appeal goes beyond infrastructure alone, encompassing financing, investment and a skilled workforce. The UK’s research base and academic networks form part of that offer.
The message is clear – the UK is positioning itself as a reliable, rules-based environment with deep capital markets and strong academic-industry links – assets that European firms can draw on as they grow.
The UK as a gateway
Alongside the advantages of sourcing high-quality goods and services from the UK, Morgan highlights the country's growing role as a platform for global trade.
“The UK’s network of modernised and liberalised free-trade agreements represent a great opportunity for businesses that want to set up in the UK and make the most of the UK’s gateway role into the rest of the world.”
These agreements are not limited to low-tariff arrangements to facilitate the trade of physical goods, but extend to services and digital trade as well – areas increasingly central to European competitiveness.
Membership of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) adds another layer of advantage, providing access to high-growth markets in the Asia-Pacific.
In practice, this means European companies establishing in the UK can combine access to the British market with preferential routes into fast-growing economies beyond Europe.
Increasing collaboration and reducing risk
The renewed momentum is also being translated into targeted partnerships across Europe, including new agreements with France, Germany, Spain and North Sea countries.
Morgan suggests such agreements are designed to create clearer pathways for collaboration – including research partnerships, supply-chain cooperation and energy transition projects.
But trade agreements alone do not guarantee deals. Access to finance and risk mitigation are key to getting commercial partnerships off the ground, which is where the UK’s export credit agency, UK Export Finance (UKEF), comes in. UKEF supports UK companies exporting goods and services by providing finance, guarantees and insurance to reduce risk for exporters and their international buyers.
Morgan says: “When European companies choose to partner with a British company that is backed by UK Export Finance, they are working with a company that we know has competitive financing, good insurance arrangements, and good capital guarantees.”
For international buyers and investors, that reassurance matters.
This reset is not about headlines but about execution – reinforcing existing trade ties, strengthening regulatory cooperation and backing commercial partnerships with finance and expertise.
