UK prime minister Sir Keir Starmer met with German chancellor Friedrich Merz today [17 July 2025] in London, signing the first treaty between the two countries since the end of the Second World War.
Although predominantly focused on defence and migration, the deal also includes pledges affecting trade between the two countries, and – in turn, supply chains.
The fourth chapter of the treaty is titled ‘Economic Growth, Resilience and Competitiveness’. It states that the governments of the UK and Germany ‘shall work together to support economic growth, job creation, digital transition and innovation’.
This includes delivering an industrial transformation that ‘enables a sustainable and carbon-neutral future and takes into account the needs of future generations’. To achieve this, the two governments will ‘identify vulnerabilities and collaborate on policies’.
Both countries are also set to ‘work jointly to take full advantage of the significant economic opportunities arising from the green transition, including in particular the renewable energy potential in the North Sea’.
And in terms of technology, this agreement outlines plans to ‘promote the global development and deployment of technologies’ and ensuring secure and responsible use of AI.
Starmer and Merz have agreed to ‘regular and structured exchanges on science, innovation and technology’, with both committing to ‘cooperate on current and future challenges across research and innovation, and emerging and critical technologies’.
