Oral Answers to Questions

Debate between Douglas Alexander and Graeme Downie

Thursday 1st May 2025 Commons Chamber

[Graeme Downie (Dunfermline and Dollar) (Lab)]

3. What steps his Department is taking to help support trade with European countries.

[The Minister for Trade Policy and Economic Security (Mr Douglas Alexander)]

As we have just been discussing, increasing trade with European countries is and has been a focus of discussion between Ministers in the Department for Business and Trade and their EU counterparts. I recently met Ministers from Spain, France, Denmark, Poland and Germany, and work is under way on the first UK-EU summit, scheduled to take place on 19 May; trade and the economy will form one element of a broader agenda about our strategic partnership. Across wider Europe, we are negotiating an enhanced free trade agreement with Switzerland, which we hope will strengthen our trading relationship there.

[Graeme Downie]

The UK’s economic relationship with Sweden is among the most important of our economic relationships with our European partners, particularly with Sweden having recently joined NATO. As the Minister will know, Babcock is pursuing a partnership with Saab to build four Luleå-class corvettes for Sweden. That would involve significant work at Rosyth dockyard and secure thousands of jobs in my constituency. This would be a joint export product, bringing considerable further value to the UK. Given the significance of this deal to my constituency and shipbuilding in the UK, will the Minister confirm its importance to our relationship with Sweden, and do all that he can to support and champion this vital defence industrial partnership?

[Mr Alexander]

Having worked so closely with former Prime Minister Gordon Brown over a number of years, I am probably the last person in this Chamber who needs to be convinced of the economic significance of the Rosyth dockyard. As my hon. Friend knows, I have recently had meetings with Babcock’s executive team, both in London and abroad. Due to commercial sensitivities, I cannot discuss details of the deal to which he has referred. I am grateful for his recent letter to the Secretary of State on this matter; a response was issued yesterday. He can be fully assured that the Government value the defence relationship with Sweden and fully recognise the importance of defence industrial partnerships between the United Kingdom and Swedish companies. They contribute greatly to our defence and growth objectives.