UK-Canada Continuity Trade Agreement has been saved
UK-Canada Continuity Trade Agreement
Trade and market access
Brexit pulse alert: respond to the business impacts of Brexit
21 November, 2020
The UK government has agreed a continuity trade agreement with Canada to ensure business in both countries can continue to trade on largely the same terms as present.
Top Brexit impacts
The agreement in principle provides confidence to businesses that trade between the UK and Canada will continue on largely the same terms as secured in the EU-Canada Comprehensive Economic and Trade Agreement (CETA).
The UK government has said the new agreement “gives certainty for UK businesses exporting goods and services to Canada worth £11.4 billion. It will support the British automotive manufacturing and food and drink industries which between them provide jobs for more than half a million people across the UK”.
Alongside the agreement, the UK and Canada have also committed to negotiate a new bespoke free trade agreement, which could go further than the terms of the existing relationship in areas such as digital trade. Negotiations could begin in 2021.
The agreement in principle will be formally signed once legal checks have been completed.
Actions for business
Businesses trading within the UK-Canada corridor will be able to plan for the future with greater certainty. Once published, firms will have some time to examine the legal text of the agreement, which will come into effect on 1 January 2021 after the transition period.
To discuss specific support with your Brexit preparations based on this latest development contact: Deloitte Brexit Insights