Key facts
- UK Prime Minister Keir Starmer secured an £18 billion investment deal with Japan.
- The agreement includes over 10 commercial and government agreements, with a £9 billion offshore wind deal.
- Rolls-Royce will collaborate with Japan's Atomic Energy Agency on developing next-generation technologies.
- Japanese investors committed to a five-year pipeline exceeding £9 billion for projects like new towns and innovation hubs.
- A report suggests the UK's 'reset' deal with the EU may impose greater costs than benefits on UK producers.
Prime Minister Keir Starmer has secured an £18 billion investment deal with Japan, aiming to bolster post-Brexit ties and create tens of thousands of jobs. The agreements span technology and life sciences, including a significant £9 billion offshore wind deal and Rolls-Royce's collaboration with Japan's Atomic Energy Agency on next-generation nuclear technologies. Japanese investors have committed to a five-year pipeline exceeding £9 billion for various projects.
Japanese Prime Minister Sanae Takaichi is set to visit Downing Street ahead of the G7 summit. The discussions will also cover opportunities for UK defence firms to access Japanese investment. Starmer highlighted the landmark agreements as drivers of economic growth and security for the UK.
However, the UK's broader post-Brexit economic strategy faces scrutiny. A report by Policy Exchange suggests that a separate UK 'reset' deal with the EU may result in higher costs for UK producers than its projected benefits, potentially due to new regulations and overregulation. Former trade secretary Lord Lilley has also expressed skepticism about the efficacy of free trade frameworks in boosting exports.