[Local] Suspicions that Switzerland and the UK have been quietly working behind the scenes to draw up a post-Brexit economics and trade agreement have now been confirmed.On Friday, the Swiss government announced it had signed off on the text of the new agreement it said should form the basis of business and trade relations between the two countries after the UK quits the European Union.
"This agreement guarantees, as far as possible, the continuation of the economic and commercial rights and obligations arising from the agreements between Switzerland and the EU," the Swiss Federal Council said in a statement.
Trade between Switzerland and the UK was worth 17.5 billion Swiss francs (€15.5 billion) last year. The UK was Switzerland’s sixth biggest export market in 2017 and its sixth largest direct investor in 2016.
Text still under wraps
The text of the new agreement remains under wraps for now because the UK is officially barred from negotiating with third countries until it leaves the EU.
But behind the scenes, there have been extensive talks between Bern and London and the arrival of the agreement won’t surprise observers in the Swiss and British business communities.
Those talks come in the context of a determined push to ensure there is as little disruption as possible in bilateral relations because of Brexit.
At present, these relations are chiefly based on a package of agreements between Switzerland and the EU. But after Brexit, those agreement will cease to apply and will need to be replaced.