The Federation of Small Businesses in Wales has welcomed a deal between the UK and EU, which it says will help clear bottleneck at the border.

Prime Minister, Keir Starmer has today confirmed a new agreement with the European Union.

As part of the deal, a new SPS agreement will make it easier for food and drink to be imported and exported by reducing the red tape that placed burdens on businesses and led to lengthy lorry queues at the border. This agreement will have no time limit, giving vital certainty to businesses.

Some routine checks on animal and plant products will be removed completely, allowing goods to flow freely again, including between Great Britain and Northern Ireland.

Ultimately this could lower food prices and increase choice on supermarket shelves – meaning more money in people’s pockets, says the UK Government.

Also, British holidaymakers will be able to use more eGates in Europe, ending the dreaded queues at border control. Pets will also be able to travel more easily, with the introduction of ‘pet passports’ for UK cats and dogs – eliminating the need for animal health certificates for every trip.

Ben Cottam, Head of Wales at the Federation of Small Businesses, said: “As Wales’s most important trading partner, FSB welcomes the announced easing of trade barriers between the UK and the EU.

“In particular, simplifying exports for Welsh food and drink SMEs provides a vital injection of confidence and certainty for these key businesses, enabling them to unlock new opportunities for growth and innovation in the EU market.

“There is a role now for Wales’s business support organisations to proactively engage with businesses to provide comprehensive guidance on what the deal means for them and how they can capitalise on the benefits of this improved trading environment."

Tina McKenzie, Policy Chair of the Federation of Small Businesses, added: “This agreement marks genuine progress by untangling the rules for small exporters of plant and animal products. If British goods can reach European markets with fewer setbacks, that marks real progress.

“For too long, small businesses have shouldered the burden of unpredictable custom rules and red tape that sap confidence and ambition.

“Today’s agreement brings us a step closer to reducing the burdens for SMEs by clearing the bottleneck at the border, trading fresh produce and more efficient supply chains.

“We also welcome conversations on business mobility and the mutual recognition of qualifications across borders, and hope that small firms are given a seat at the table as plans take shape.

“Of course, this deal does not solve every challenge overnight, but it sets a very welcome new tone.

“International trade is so valuable – firms selling to overseas markets grow faster and are more likely to weather tough times.

“It is therefore vital that the spirit of this progress is not allowed to unravel."

Keir Starmer said: "It’s time to look forward. To move on from the stale old debates and political fights to find common sense, practical solutions which get the best for the British people.

"We’re ready to work with partners if it means we can improve people’s lives here at home.

"So that’s what this deal is all about – facing out into the world once again, in the great tradition of this nation. Building the relationships we choose, with the partners we choose, and closing deals in the national interest. Because that is what independent, sovereign nations do.”

Minister for European Union Relations and lead Government negotiator, Nick Thomas-Symonds said: "Today is a historic day, marking the opening of a new chapter in our relationship with the EU that delivers for working people across the UK.

"Since the start of these negotiations, we have worked for a deal to make the British people safer, more secure and more prosperous. Our new UK-EU Strategic Partnership achieves all three objectives. It delivers on jobs, bills and borders. Today is a day of delivery. Britain is back on the world stage with a Government in the service of working people."

The UK and EU have also reached a new twelve year agreement that protects Britain’s fishing access, fishing rights and fishing areas with no increase in the amount of fish EU vessels can catch in British waters, providing stability and certainty for the sector.