Starmer on European mission to drive economic growth

The Prime Minister will drive forward UK economic growth in Berlin and Paris this week, as he puts delivering for the British people at the top of his international agenda. 

Keir Starmer will meet German Chancellor Olaf Scholz to launch negotiations on a new bilateral treaty, which is expected to boost business and trade, deepen defence and security cooperation, and increase joint action on illegal migration. 

The Prime Minister is expected to tell Chancellor Scholz that he is focused on ensuring the UK moves beyond Brexit to rebuild relationships with key partners and improve the lives of hardworking people in both countries. He is also expected to meet German President Frank-Walter Steinmeier. 

He will say that driving growth will be key to doing that. Germany is Europe’s largest economy and the UK’s second largest trading partner, accounting for 8.5% of all UK trade.  

As part of the trip to Berlin, the Prime Minister is also expected to meet Dr. Christian Bruch, chief executive of Siemens Energy. Through its technology, Siemens supports one-sixth of global energy generation.

The company also employs nearly 100,000 people, including more than 6,000 in the UK. The stop is part of a string of visits planned by the Prime Minister to drive up investment in the UK and create more highly skilled jobs in every corner of the country.  

German companies already support more than 330, 000 jobs in the UK, in places such as Derby, Manchester, Goole and Oxford while UK exports to Germany supported a further 500,000 jobs.  

He will also meet Armin Theodor Papperger, the chief executive of Germany’s largest defence and security company, Rheinmetall. Rheinmetall is also vital to the modernisation of the British Army, supporting thousands of jobs at sites in the south west and Shropshire, and has recently made significant investments in its Telford Hub to deliver Boxer armoured fighting vehicles. 

The two-day European visit comes after the Prime Minister hosted Crown Prince Salman Bin Hamad Al Khalifa, Prime Minister of Bahrain, at Downing Street on Tuesday, to progress inward investment from the Gulf. 

The Prime Minister is expected to travel on to Paris for the Paralympics Opening Ceremony on Wednesday night, before meeting French business leaders, including major investors into the UK economy, for breakfast on Thursday morning including from Thales, Eutelsat, Mistral AI and Sanofi.

France is the UK’s fourth-largest trading partner, accounting for 6% of all UK trade. The Prime Minister will then go on to meet Paralympians as they prepare for competition, before meeting President Macron at the Elysée Palace.   

Prime Minister Keir Starmer will say: “We have a once in a generation opportunity to reset our relationship with Europe and strive for genuine, ambitious partnerships that deliver for the British people. 

“We must turn a corner on Brexit and fix the broken relationships left behind by the previous government. That work started at the European Political Community meeting last month, and I am determined to continue it, which is why I am visiting Germany and France this week. 

“Strengthening our relationship with these countries is crucial, not only in tackling the global problem of illegal migration, but also in boosting economic growth across the continent and crucially in the UK – one of the key missions of my government.” 

The new UK-Germany treaty will be a key pillar of the UK’s wider reset with Europe and build on the defence agreement, which is currently being negotiated between the two countries, and expected to be finalised in the autumn.

The Prime Minister’s negotiating team will spend the next six months agreeing the new treaty, with both sides wanting to agree the new partnership in early 2025.  

The ambitious agreement is expected to cover vital areas for increased collaboration, such as market access, critical science, innovation and tech, clean energy, trade across the North Sea, supply chain resilience, energy security and green transition education, biodiversity, and the environment.

A treaty of such magnitude has never been agreed between the UK and Germany. Alongside the longstanding Lancaster House Treaties that underpin the UK’s relationship with France, this new agreement will bring all E3 members in line as our governments work in lockstep on key geo-political issues, such as the conflict in the Middle East and war in Ukraine.

Germany is a central part of the Government’s push to recalibrate relations with Europe, given the close cultural ties and defence collaboration. 

The leaders are also expected to discuss joint action to tackle illegal migration, including further intelligence sharing to intercept and shut down organised immigration crime rings. 

The Prime Minister will also reiterate his personal condolences to the German people following the attack in Solingen on Friday, where three people died. 

The European visit is the fifth time the Prime Minister has met Chancellor Scholz and the fourth time meeting President Macron, following the NATO Summit in Washington, the European Political Community hosted at Blenheim Palace, the UEFA Euro 2024 final, and the Olympic opening ceremony hosted last month. 

The European business drive comes ahead of the Prime Minister hosting a major International Investment Summit in October to advance opportunities for investment and growth across the country and deliver for the British people.