The government has announced that it intends to pursue a free trade agreement (FTA) with Israel as part of measures to boost economic growth.

Israel is one of several countries, including India, South Korea, Gulf Cooperation Council countries (Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates), Switzerland and Turkey with whom the government aims to secure FTAs.

Business and Trade Secretary Jonathan Reynolds said: “Boosting trade abroad is essential to deliver a strong economy at home. That’s why I’ve wasted no time taking stock of progress and getting ready to press on with trade talks with our international partners.

“From the Gulf to India, our trade programme is ambitious and plays to the UK’s strengths to give British businesses access to some of the most exciting economies in the world.

“Our teams will be entering negotiating rooms as soon as possible, laser-focused on creating new opportunities for UK firms so they can support jobs across the country and deliver the growth we desperately need.”

Britain’s Ambassador to Israel Simon Walters said on X/ Twitter, “We look forward to an ambitious deal which delivers for the UK and Israel.”

Total trade between Israel and the UK was worth an estimated £6.1 billion last year and Israel was the UK’s 41st largest trading partner.

In March last year, the previous Conservative administration and Israel signed an enhanced agreement called “2030 roadmap for UK-Israel bilateral relations” and negotiations to sign an FTA had been ongoing.

The announcement by the new Labour government comes amid widespread speculation that the UK was considering suspending arms sales to Israel.

Foreign Secretary David Lammy responded that any change on the UK’s stance on exporting arms to Israel would only occur after “careful assessments of the law”.