Question to the Department for Environment, Food and Rural Affairs:

To ask the Secretary of State for Environment, Food and Rural Affairs, pursuant to the Answer of 4 December 2024 to Question 15757 on Agricultural Products: UK Trade with EU, whether his Department has made an assessment of the potential financial impact of the UK leaving the EU on the agri-food sector.

I refer the hon. Member to the reply previously given on 4 December 2024, UIN 15757. Although the Trade and Cooperation Agreement allows zero tariffs and zero quota trade, leaving the EU single market and customs union had an impact on the export of agri-food products, as have other changes in trade policy such as new Free Trade Agreements with other countries, and global shocks such as the Covid-19 pandemic. Agri-food trade with the EU has fallen since 2018 in real terms (after adjusting for trade inflation) by 20% (exports) and 11% (imports). However, there is difficulty separating out the impact of the UK leaving the EU from those other factors. The majority of UK agri-food exports were still to EU countries in 2023, 57% (£14 billion).

We are working to reset our relationship with our European friends to strengthen ties and tackle barriers to UK-EU trade. We will seek to negotiate a veterinary/sanitary and phytosanitary agreement to boost trade and deliver benefits to businesses and consumers in the UK and the EU. We have been clear that our trading relationship can be improved but we are not rejoining the single market or customs union, and we will not return to freedom of movement.