19-05-2025
- Business
- The Herald Scotland
What Keir Starmer's new UK–EU agreement means for Scotland
A central and controversial element of the deal is the extension of EU fishing rights in UK waters until 2038. This 12-year continuation maintains current access arrangements, which were initially set to expire in 2026.
The UK Government argues that the move provides stability and certainty for the fishing sector. However, Scottish fishing communities and the Scottish Government have voiced strong opposition. Deputy First Minister Kate Forbes described the agreement as a 'great betrayal', emphasising that the Scottish Government was not consulted, despite fisheries being a devolved matter.
To mitigate concerns, the UK Government announced a £360 million Fishing and Coastal Growth Fund aimed at investing in new technology, equipment and support for coastal communities.
🥩 Food and farming: Reduced red tape, EU standards apply
The agreement includes a Sanitary and Phytosanitary (SPS) Agreement, which aligns UK food safety and animal health standards with those of the EU. This alignment is expected to eliminate most routine border checks on animal and plant products between Great Britain and the EU.
It will also permit the export of some previously restricted products, including burgers and sausages, back into the EU market.
For Scotland, this is significant, facilitating smoother exports for key sectors such as seafood and agriculture. However, it also means that the UK, including Scotland, must adhere to evolving EU regulations in these areas.
✈️ Travel: Easier entry into the EU
Under the new agreement:
UK passport holders will be able to use e-gates at European airports, speeding up entry processes.
Pet travel will be simplified, with the reintroduction of pet passports, eliminating the need for repeat veterinary certificates for each trip.
This cat can travel to Europe with new passport (Image: Borders Pet Rescue)
🎓 Students and young people: Erasmus+ and youth mobility
The UK has agreed to work towards rejoining the Erasmus+ programme, making it easier and more affordable for Scottish students to study abroad in Europe.
In addition, both the EU and UK have agreed to work towards establishing a balanced youth experience scheme, allowing young people aged 18–30 from both sides to work, study, volunteer or travel in each other's countries for a limited period.
The scheme is intended to provide a dedicated visa path, with mutually agreed terms and participant numbers.
🛡️ Defence and security: Opportunities for Scottish firms
The agreement establishes a new UK–EU defence and security partnership, including access for UK defence companies to the EU's €150 billion defence fund – potentially benefiting Scottish firms in shipbuilding, aerospace and advanced manufacturing.
It also commits the UK and EU to enhanced cooperation on security matters, including support for Ukraine, cyber security and countering hybrid threats.
🔌 Energy and environment: Closer collaboration
The UK and EU have agreed to work towards linking their carbon emissions trading systems (ETS) to create a more integrated carbon market.
They will also explore UK participation in the EU's internal electricity market, which could lead to more efficient energy trade and potentially lower energy costs.