Monday 23 January 2023

The London Chamber of Commerce and Industry (LCCI) urged the Government to use Brexit freedoms to boost trade between London and the UK with South Korea.

LCCI’s call for action came in response to the Department for International Trade’s consultation on the future of the UK’s trading relationship with South Korea. The Government is currently re-negotiating its international trade deal with South Korea.

South Korea is the UK’s 22nd largest trading partner, accounting for around 1.1% of total UK trade in 2021. Total trade in goods and services between the UK and South Korea was £14.3 billion over the same period.

LCCI’s evidence called on the government to avoid red tape to speed up trade between the countries, and to take advantage of the removal of the obligation to provide state aid after Brexit. LCCI also called for the FTA to prioritise:

• Supply-side reforms on trade with South Korea, creating a better environment for British businesses
• The embedding of critical net zero objectives within the FTA
• The empowerment of women entrepreneurs in both South Korea and the UK
• A focus on the digital economy and digital trade, similar to the UK’s FTAs with Singapore and Ukraine
• Protection of investors to allow trade flows to flourish between the two countries

James Watkins, Head of Policy and Public Impact at the London Chamber of Commerce and Industry said: “London and the UK’s trade with South Korea, worth £14.3bn in 2021, is incredibly important to businesses. The UK’s post-Brexit renegotiations with South Korea gives the Government a unique opportunity to think globally and act responsibly, by ensuring that net zero obligations and women’s access to the labour market are enshrined within the new Free Trade Agreement. By best reflecting what Global London really needs going forward and prioritising digital and supply side reforms, London and the UK can thrive in trading with South Korea and the rest of the world.”

You can read LCCI’s full submission to the government here and read more about the government’s call for evidence here.

ENDS