Australia-United Kingdon: Natural trading partners

Trade & Investment Update 2021

Publication summary

Australia and the UK are on the cusp of a new era of free trade. Both countries have reached an in-principle Australia-UK Free Trade Agreement (FTA). The final text is being prepared for signature. This is expected to take place in 2021.

The report includes views from UK and Australian industries, and case studies of success stories. Case studies include:

• Accolade Wines
• BAE Systems
• BJSS
• Link Group
• Octopus Energy
• Telstra

Key findings

• UK services exports to Australia are growing at over 10% per year. This includes exports in:
  • intellectual property
  • ICT
  • financial services.

(Source: Australian Bureau of Statistics, International Trade: Supplementary Information, Financial Year, Table 6, accessed July 2021).

• The stock of UK foreign direct investment in Australia more than doubled from 2010 to 2020
  

(Source: Australian Bureau of Statistics, International Investment Position, Australia, Supplementary Statistics, 2020, May 2021, accessed July 2021).

• In 2019-20, the UK was Australia’s:
  • fifth largest two-way trading partner for goods
  • third largest two-way trading partner for services

  (Source: Australian Bureau of Statistics, International Trade: Supplementary Information, Financial Year, 2019-20, accessed September 2021).

Contact us

Contact Austrade online or call 13 28 78.