The United Kingdom and Spain have moved to deepen post-Brexit economic ties, agreeing on plans for a new short-stay work visa waiver and closer recognition of professional qualifications, as UK Chancellor Rachel Reeves visited Madrid on Wednesday.
The agreement — a central focus of Reeves’ first trip to Spain as Chancellor — is designed to ease movement for services professionals travelling between the two countries for periods of under 90 days. The waiver would apply to sectors such as legal, financial, consulting, IT and specialised corporate services, and is expected to work on a reciprocal basis for both British and Spanish workers.
The initiative forms part of a broader effort by the UK government under Prime Minister Keir Starmer to rebuild economic links with European partners after Brexit, and to reduce the administrative barriers that have weighed on cross-border business. ALSO READ: EU and UK ‘reset’ post-Brexit relations with new agreements at mini-summit.
Reeves met Spain’s Economy Minister Carlos Cuerpo in Madrid, where they signed a joint declaration ‘to facilitate the mobility of professionals and the recognition of qualifications’ aimed at strengthening bilateral economic cooperation under a new ‘Trade and Investment Dialogue’ framework.
The UK Treasury said the visa waiver alone could generate around £250 million in additional exports for British businesses over five years, underlining the importance of services — an area where the UK remains one of the world’s leading exporters.
‘The UK is the world’s second largest exporter of services – and this change could be worth around £250 million in additional exports to UK exporters over a five-year period,’ the British Embassy in Spain said in a press release.
The visit was also timed to coincide with a £240 million investment linked to Spanish liquid storage company Exolum, as Reeves met representatives from around 120 Spanish businesses and investors in the capital.
While framed as a pragmatic step to boost trade, the agreement also reflects a broader political shift in London towards closer alignment with Europe. Speaking earlier this week, Reeves argued that following more EU rules could help reduce inflation and provide certainty for businesses, warning that the UK risked being left ‘stranded’ between competing global trading blocs without stronger ties.
On Wednesday, she said: ‘In an uncertain world, we must build growth that is secure and resilient. We do this best through partnerships with those who share our interests, our values, and our ambitions. We count Spain amongst those partners – and the prize for doing more together is considerable.’
Cuerpo echoed the emphasis on cooperation, stating: ‘No country can face the challenges of this era alone — economic security, technological transformation, climate change. The answer is more cooperation with trusted partners, not less. And the United Kingdom is, and will remain, one of Spain’s most important partners.’
Notably, the idea of a mutual visa waiver was first proposed by Spain as a way to sidestep post-Brexit bureaucracy and facilitate business travel between the two countries. ALSO READ: UK looks set to rejoin the EU’s Erasmus student exchange programme from 2027.
The renewed push for closer ties comes against a backdrop of growing trade between Spain and the UK, despite Brexit-related friction. Spanish exports of goods to the UK reached €24.9 billion in 2025, up 4.5% year-on-year and more than 25% higher than pre-pandemic levels in 2019. Trade in services is even larger, with Spain exporting €29.2 billion, including more than €10.6 billion in non-tourism services.
British exports to Spain have also surged, reaching £22.1 billion in goods and services between October 2024 and September 2025 — an annual increase of 11% — making Spain one of the fastest-growing major markets for UK exporters.
The visit by Reeves on Wednesday builds on a Strategic Framework agreement signed in London last September by Spanish Prime Minister Pedro Sánchez and the UK’s Keir Starmer, aimed at strengthening cooperation in key sectors such as technology, defence and life sciences. ALSO READ: Pedro Sánchez and Keir Starmer meet to sign deal to bolster post-Brexit ties.
Sánchez has been increasingly outspoken about Brexit, recently describing it as ‘a terrible loss’ for both the UK and the European project, and suggesting that countries and governments ‘can make mistakes’. Even so, he has stressed that there remains significant scope to deepen cooperation between the UK and EU member states such as Spain.
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Junto a la ministra de Hacienda de 🇬🇧, @RachelReevesMP, firmamos una Declaración Conjunta para facilitar la movilidad de profesionales y el reconocimiento de cualificaciones
— Carlos Cuerpo (@carlos_cuerpo) March 18, 2026
Un paso más para que nuestras empresas lo tengan más fácil y sigamos creando prosperidad en ambos países pic.twitter.com/k5ZImShU6M
La mejor prueba de la relación económica privilegiada entre España y Reino Unido es que nuestras empresas han seguido invirtiendo pese a los shocks de los últimos años.
— Carlos Cuerpo (@carlos_cuerpo) March 18, 2026
Una relación basada en la confianza, el equilibrio y con enorme potencial de futuro. pic.twitter.com/Am27TLbLUn
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