United Kingdom Becomes First European Member of CPTPP Trade Bloc
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London, Dec 15 (NationPress) The United Kingdom has officially become a member of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) on Sunday, making it the inaugural European country to enter this Asia-Pacific trade bloc.
This notable 12-nation trade agreement is anticipated to enhance the British economy by £2 billion (approximately $2.52 billion U.S. dollars) annually in the long term, as stated by the Department for Business and Trade, according to the Xinhua news agency.
The department highlighted on its website that the UK's entry into the CPTPP is a pivotal element of the government’s Plan for Change, which seeks to foster economic growth and elevate household incomes. The initiative is expected to increase household wages by £1 billion ($1.26 billion dollars) each year while benefiting all regions across the nation.
British Business and Trade Secretary Jonathan Reynolds commented, "Agreements like this boost trade and create opportunities for UK companies abroad, supporting jobs, raising wages, and driving investment across the country."
Ian Stuart, CEO of HSBC UK, emphasized the importance of the trade bloc, noting, "Since the announcement of the UK's accession in July 2023, we have observed an increase in payments between CPTPP markets and the UK, and we anticipate this growth to persist."
The UK will join the agreement alongside eight of the bloc’s 11 existing members who ratified the accession on Sunday – Japan, Singapore, Chile, New Zealand, Vietnam, Peru, Malaysia, and Brunei.
It is set to take effect on Christmas Eve with Australia, which ratified the deal at a later date.
Canada and Mexico still need to finalize the UK’s membership, but it is believed that officials expect them to do so in the near future.
Anticipations suggest that the CPTPP will expand in the coming years, with Costa Rica recently announced as the next country to pursue membership.
This agreement will provide UK businesses with reduced tariffs and fewer obstacles when trading across three continents, with the financial services, manufacturing, and food and drink sectors poised to reap the benefits.
