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UK lands major South Korea trade deal in boost for Welsh economy

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Tariff-free access secured as exports and jobs set to grow across Wales

THE UK has agreed a wide-ranging free trade deal with South Korea which ministers say will safeguard thousands of jobs, increase exports from Wales, and unlock hundreds of millions of pounds in new opportunities for British services firms.

The agreement — announced on Monday (Dec 15) in London by Trade Minister Chris Bryant and his Korean counterpart Minister Yeo Han-koo — is the fourth major trade deal struck by the UK Government this year, following agreements with the EU, the US and India.

Welsh exporters stand to benefit

Wales already sells more than £280 million worth of goods to South Korea each year, including over £227 million in machinery. Power-generating machinery exports have risen by more than 50% since 2023.

The Welsh automotive sector is also expected to gain from the agreement. Exports of road vehicles from Wales to South Korea were valued at £3.7 million in 2024, up 57% on the previous year.

Across the UK, services firms stand to gain approximately £400 million, helped by improved access to South Korea’s expanding financial market — the second largest importer of UK services after the United States.

Tariff-free access locked in

The deal preserves tariff-free access for 98% of tariff lines, shielding around £2 billion worth of UK exports from significant tariff hikes that had been looming. It also modernises digital trade rules by legitimising e-contracts and other electronic processes, making it faster and cheaper for Welsh and UK companies to operate in Korea.

Key industries — including automotive, pharmaceuticals, and food and drink — retain protections designed to help firms secure supply chains and expand internationally.

Prime Minister: “A huge win”

Prime Minister Keir Starmer welcomed the deal as a major step forward for economic growth.

“This is a huge win for British business and working people and marks our fourth major agreement in 2025 after the EU, India and US,” he said.
“Korean culture is already hugely influential here. Making trade easier will support jobs and growth felt across the whole country.”

Trade Minister Chris Bryant said the agreement would “take our relationship to the next level” and unlock “hundreds of millions in opportunities”.

“This secures the UK as a global leader in digital trade while giving cast-iron protections to key industries,” he added.

“Landmark deal” for Welsh businesses

Secretary of State for Wales Jo Stevens said the agreement would help Welsh exporters grow and create new jobs.

“It further unlocks the immense potential for growth across Wales’s key industries, including machinery businesses, by providing better access to a growing market,” she said.
“This is a real boost for the UK economy and will put more money back in the pockets of businesses and consumers across Wales.”

What the deal includes

According to the UK Government, the agreement will:

  • Secure permanent tariff-free access across 98% of tariff lines (matching EU terms).
  • Create new export opportunities as South Korea’s import market is forecast to grow by 26% by 2035.
  • Update “rules of origin” to simplify tariff-free trade for automotive and pharmaceutical sectors.
  • Strengthen access to Korea’s expanding financial market, building on £1.1 billion in UK financial and insurance exports last year.
  • Streamline customs processes and reduce non-tariff barriers for SMEs, which make up over 99% of UK businesses.

“Golden age” of UK–Korea relations

The UK Government says the agreement signals a “new golden age” in bilateral trade, with Virgin Atlantic launching daily flights between London and Seoul in 2026.

It follows several high-profile trade announcements this year:

  • The UK-India trade deal signed in July, projected to add £4.8 billion to the economy.
  • A May agreement with the United States, which accompanied £150 billion in investment commitments from US companies.
  • A revised trade agreement with the EU, expected to add £9 billion to the economy by 2040.

 

Business

Welfare facilities to care for rare breed of pigs built without permission approved

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A CALL to allow a Pembrokeshire farm to keep welfare facilities to care for rare breed breeding Tamworth pigs has been given the go-ahead.

In an application to Pembrokeshire County Council, Sharron Nicolas, through agent Hayston Developments & Planning Ltd, sought a certificate of lawfulness permission for the creation of a welfare flat within a previously-approved agricultural building, plus a rear lean-to extension and the erection of two further sheds at Fairybank Fields Farm, Bethesda, near Clynderwen.

An application for a certificate of lawfulness allows an applicant to keep a development if they can provide proof of occupancy or use, without any enforcement taking place, over a prolonged period.

The previous agricultural building application was granted back in 2003.

A supporting statement accompanying the application said the two-level welfare unit in the 2003-granted shed “contains the necessary elements to allow overnight stays which are essential when the pigs are farrowing.”

It added: “Mr Allan and Mrs Sharron Nicholas have been owners of Fairybank Fields since 1998. Unfortunately, Mr Nicolas died in February 2025. Although managing the farm at Bethesda, they lived at Pleasant View, Cold Blow, Narberth meaning a round trip of some 12 miles per visit – a visit which was required on a daily basis because of the need to feed and generally care for their animals – which were and still are rare breed pigs together with a number of beef cattle.

“It is essential that the pigs require continuous care when farrowing or when there are other pressures on animal health. When such occasions occurred, it was the practice of Mr Nicholas to spend the night at the farm and to use the welfare provision.”

It said Mr Nicholas would have spent approximately three months’ worth of nights (circa 90 nights) staying over at Fairybank Fields – a period of some 12 years when the bedroom above had been created to late 2024 when his brother assisted Mrs Nicholas in caring for the pigs as Mr Nicholas was too ill.

It went on to say: “Whilst the principal activity at the Farm is the breeding of the rare breed, the Tamworth Pig of which there are only currently 290 breeding sows in the UK, Mr and Mrs Nicholas also have had beef cattle on their farm and Mrs Nicholas intends to re-start that element in 2026.”

An officer report recommending approval said a site visit had been undertaken finding no evidence of the unit being occupied as a separate residential dwelling, nor as a primary residence.

It said a range of evidence was submitted in support of the application, including a detailed timeline, aerial imagery and multiple witness statements “which consistently indicate that the rear extension to Building 1 was constructed circa 2008, Shed 2 was completed in September 2012 and Shed 3 was erected in 2015”.

It said historic aerial photographs and witness statements demonstrated “on the balance of probability, that the operational development was substantially completed well in excess of four years prior to the submission of the application and has not been subject to any material interruption,” considered to be lawful by virtue of immunity from enforcement action.

It was granted approval on that basis.

 

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Business

 Resubmitted chocolate factory plans after previous refusal

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A FRESH call to allow the retrospective conversion of office space to a chocolate factory, a beauty salon and laundrette has been submitted after a previous refusal.

In an application refused by Pembrokeshire County Council in March, Mr M Williams, through agent Preseli Planning Ltd, sought retrospective permission for the subdivision of an office on land off Scotchwell Cottage, Cartlett, Haverfordwest into three units forming a chocolate manufacturing, a beauty salon, and a launderette, along with associated works.

A supporting statement, for the chocolate manufacturing by ‘Pembrokeshire Chocolate Company,’ as part of the scheme said: “The operation comprises of manufacturing of handmade bespoke flavoured chocolate bars.

“Historically there was an element of counter sales, but this has now ceased. The business sales comprise of online orders and the delivery of produce to local stockist. There are no counter sales from the premises.”

It said the beauty salon “offers treatments, nail services and hairdressing,” operating “on an appointment only basis, with the hairdresser element also offering a mobile service”.

It said the third unit of the building functions as a commercial laundrette and ironing services known as ‘West Coast Laundry,’ which “predominantly provides services to holiday cottages, hotels and care homes”.

The application was refused on the grounds it represents an unjustified out of centre use with regard to the salon and nail bar, “insufficient information has been provided to justify the loss of B1 employment floorspace,” and “the introduction of a hairdressing salon and nail bar, uses typically found within established shopping centres, into this out of centre location would undermine the strategic role, vitality, and viability of Haverfordwest town centre”.

Since then, a resubmitted application aimed at addressing the reasons for refusal has been lodged.

A supporting statement with that resubmitted application says it has “included additional evidence in terms of a sequential assessment, financial viability and client needs to justify the mixed-use unit having an out-of-town centre location, which is of a scale that would not undermine the vitality and viability of the town centre and has a saturation of similar services being offered”.

It adds: “The application has also provided additional evidence to justify the loss of 70 square metres of a B1 unit not being harmful to employment land provision in the settlement, where adequate alternative provision remains.”

It says the scheme “would represent a suitable re-use of the building, which would not undermine the vitality and viability of the town centre or result in harmful loss of employment land,” and would not “result in any significant harmful impacts upon neighbouring amenity or the character of the area”.

The latest application will be considered by county planners at a later date.

 

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Business

Main Street Music to close retail shop as owner focuses on handmade guitars

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A POPULAR Pembrokeshire music shop is changing the way it operates, with Main Street Music confirming it will no longer trade as a retail shop from September 1.

The business said there will be an immediate 15% sale on all stock, but stressed that Main Street Music is not disappearing completely.

The owner said the decision had been made “with a heavy heart”, adding that the shop’s closure as a retail outlet would be a loss for Pembrokeshire as the county’s last professional guitar dealership.

He said his long-term passion had always been making musical instruments, something he had done since his teenage years, later receiving scholarships and a fellowship for his studies.

After college, he was given the opportunity to buy the business at the age of 24.

He said: “I have had an amazing time running this shop, giving it everything I’ve got, met some wonderful people and sold some incredible guitars.”

Although the business itself remains successful, he said tighter retail margins, dealership pressures and rising costs had made it difficult to grow in a way that would allow him to employ others and spend more time in the workshop.

The shop will eventually reopen as an appointment-only workshop and showroom for handmade guitars and repairs.

Current repair work will continue on a case-by-case basis by appointment only.

Main Street Music thanked customers for their support over recent years, saying the owner was proud of where the shop had been taken.

Caption:

Main Street Music will close as a retail shop from September 1, but will continue as an appointment-only workshop and showroom for handmade guitars and repairs.

 

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