Australia’s free-trade deal with Britain heading for the final sign-off

Anthony Albanese will legislate the ‘comprehensive’ treaty next week, in a move a joint parliamentary committee says will bolster economic and social ties.

Prime Minister Anthony Albanese and British Prime Minister Rishi Sunak hold a bilateral meeting in Nusa Dua, Indonesia. Picture: Getty Images

Anthony Albanese will seek to legislate Australia’s free trade agreement with the UK next week after a joint parliamentary committee recommended the deal be ratified.

A new report by the joint standing committee on treaties released on Thursday said the deal would help to bolster economic and social ties between the nations.

It said the FTA – which was first signed in-principle by the Morrison government last year – would help Australia to diversify and liberalise its trade while also acting as a foreign policy tool to bring together the UK and the Indo-Pacific.

When it enters into force, more than 99 per cent of Australian goods will enter the UK duty free, including sheep meat, beef, dairy, sugar and wine, and provide enhanced opportunities for Australians to live and work in the UK.

The Australian government is pushing for free trade deals with the EU, India and the UK despite moves in Westminster against it over concerns the removal of tariffs would leave Britain worse off.

Former Environment Secretary George Eustice told British MPs this week that the deal was “not very good” and that the UK “gave away far too much for far too little in return”.

The Prime Minister discussed the FTA with UK Prime Minister Rishi Sunak on the margins of the G20 Summit in Bali amid Australian concerns British enthusiasm for the deal had cooled.

Britain claimed the deal was worth $18.4bn to the UK’s economy, but a cross-party UK parliamentary trade committee warned then-prime minister Boris Johnson against “overselling the benefits” of the agreement.

Speaking after his first bilateral meeting with his new British counterpart, the Prime Minister said Australia wanted to see the UK ratify the deal soon.

“We spoke about the free trade agreement, which has been ticked off by the parliamentary committee … and we’re hoping it will come into force in the first quarter of next year,” Mr Albanese said.

Trade Minister Don Farrell on Thursday said he had spoken with the new UK Secretary of State for International Trade Kemi Badenoch to advise her he would “finalise” it in parliament next week.

Senator Farrell said he expected the treaty to pass with “full support” from the opposition in both chambers.

Senator Farrell said the agreement would be “crucial” in boosting growth and strengthening the Australian economy by providing new opportunities for Australian traders, farmers, producers and consumers.

“We have worked hard to expeditiously advance parliamentary processes to enable entry into force of the Australia-UK FTA as soon as possible,” Senator Farrell said.

“Given the enthusiasm from former government ministers, we expect full support from the opposition benches in both chambers, when the legislation goes to a vote next week.”

The FTA also includes special commitments to maintain high labour standards and support efforts to tackle forced labour and modern slavery and set up a framework to help Australia and the UK transition to low-carbon economies.

The agreement will enter force after Australia and the UK have confirmed with each other in writing.

The joint parliamentary committee is expected to hand down its findings on the EU FTA on Friday.