Select committee: Foreign Affairs Committee
Conclusion 25
3rd Report – From a Common Understanding to Common Ground: Building a UK-EU Strategic Partnership fit for the future
Published 4 Mar 2026
Addressed to Foreign, Commonwealth & Development Office
Foreign Affairs Committee The UK-EU reset: rebuilding a strategic partnership in uncertain times All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Conclusion (the committee's words)
We support the Government’s intention to act on the commitment made by its predecessor within the Trade and Cooperation Agreement to “seriously consider” linking the UK and EU emissions trading systems. An agreement to that effect would be of benefit to both sides’ climate ambitions. An agreement on Emissions Trading Systems linkage would also allow for mutual exemption from carbon border taxes that might otherwise hinder 90 UK-EU trade when they are fully in effect. However, we are concerned by the lack of communication about the timing and detail of any temporary arrangement to exempt UK exports from EU Carbon Border Adjustment Mechanism in the meantime. (Conclusion, Paragraph 80)
From: Foreign Affairs Committee, 3rd Report – From a Common Understanding to Common Ground: Building a UK-EU Strategic Partnership fit for the future (HC 857), 4 March 2026
Government response
The government responded to the whole report on 21 May 2026 (deadline 4 May 2026).
Summary written by Accountability Index from the government's response. It is not the government's own words.The Government welcomes the Committee's contributions and says it has "considered the report's findings carefully", responding to the recommendations in turn, with many matters said to be subject to ongoing negotiation.
- On the Gibraltar Treaty, the Government says Parliament will be able to scrutinise it under the 2010 Act "once it has been signed", and that the Committee's views on a debate will be conveyed to the Leader of the House and business managers "for consideration".
- On Security Action for Europe (SAFE), the Government says it "was unable to reach an agreement" that met the national interest test, and that UK firms retain access to SAFE contracts under standard third-country terms.
- On the Sanitary and Phytosanitary and electricity negotiations, the Government says details are "subject to ongoing negotiations" and it "will not provide a running commentary". It aims to conclude ETS linking and Youth Experience talks by the next summit, and says the electricity agreement will come into force "within this parliament".
- On a dedicated Commons EU affairs committee, the Government says it "intends to consider the matter further", and on Galileo says it has no plans to rejoin.