UK businesses are increasingly targeting markets outside the European Union, despite Shadow Chancellor Rachel Reeves’ recent claim that the bloc remains Britain’s most important trading partner.
New data from Santander’s spring trade barometer reveals that British companies are prioritising exports to countries like the US, China, and Australia. For the first time since 2022, Ireland and Italy have dropped out of the top ten UK export destinations.
Last month, Ms Reeves argued that Europe was “arguably more important” than the US as a trading partner. However, the US continues to hold strong appeal, ranking as Britain’s second most significant export market, with 54% of UK firms identifying it as a key destination—just behind Germany, which fell slightly from 59% to 55%.
The renewed interest in non-EU markets follows the UK’s recent trade agreement with the US—the first struck since Washington’s new round of tariffs last month.
Jane Galvin, Head of Corporate Clients at Santander UK, commented: “As the UK faces ongoing domestic challenges, businesses are looking beyond our borders for growth opportunities. There is a real urgency for companies to tap into international markets, despite the more difficult and often unpredictable global landscape.
“While Germany and France remain key trading partners, we’re seeing a downward trend in UK-EU trade. Companies are increasingly looking towards markets like China, the US, Canada, and Australia—and they need support in finding the right partners and navigating these new opportunities.”
