Last month, our CEO Rain Newton Smith was in Brussels for BusinessEurope's Executive Committee meeting, strengthening the CBI's engagement with European partners and the UK Mission to the EU. While there, she met Ambassador Lindsay Croisdale-Appleby, the UK's Ambassador to the EU, to discuss progress on EU-UK cooperation and the wider European policy landscape.
EU-UK cooperation
Activity under the EU-UK Common Understanding is picking up pace, with work on Erasmus+, SAFE, and the Youth Experience Scheme gathering momentum. Negotiations on a Sanitary and Phytosanitary (SPS) Agreement and Emissions Trading Systems (ETS) link are still on hold until the EU agrees its formal mandates, but both sides have committed to continuing to drive progress in the meantime.
Looking to the mid-term, the next phase of cooperation must give more attention to services, business mobility, and the Mutual Recognition of Professional Qualifications. These issues are the cornerstone of a strong and balanced EU-UK economic relationship.
Alongside this, two near-term EU files will have material implications for UK-EU trade. First, UK firms are still concerned by proposed EU changes that would cut quotas and raise tariffs on non-EU steel. The UK will engage the EU to seek a pragmatic, preferential solution ahead of next June's deadline, and the CBI will continue to ensure Northern Ireland's position is fully understood and respected.
Second, the application of the EU's Deforestation Regulation (EUDR) is due from 1 January 2026. Members are continuing to seek clarity on scope, due diligence requirements and implementation timelines. We have been highlighting in conversations with officials and international stakeholders the importance of workable rules, reduced administrative burdens and clear guidance for Great Britain-Northern Ireland-EU supply chains.
The CBI will work with our European body, BusinessEurope, to ensure the interests of our members are reflected in their policy campaigns on these vital issues.
UK-Switzerland Services Mobility Agreement
We were pleased to welcome a further extension to the existing UK-Switzerland Services Mobility Agreement this week. By extending coverage for the next four years, both governments have worked to provide businesses with more certainty and predictability on services mobility while negotiations for a Free Trade Agreement continue. Further details and operational guidance will be shared in due course. In the meantime, it is critical that both governments capitalise on this momentum to accelerate trade negotiations and agree a forward looking, innovative deal suitable for both economies.
Do reach out to Sean McGuire or Erin Henwood to share any views on EU-UK cooperation or wider international activity.