UK, UAE expected to sign multi-billion-pound clean energy, tech deals: official

The UAE is expected to sign multi-billion-pound clean energy deals with the UK, officials have said.

Speaking to The National on Tuesday, Simon Penney, Middle East trade commissioner, said the potential deals come as the UK looks to increase investment and trade with the Gulf state.

Penney said a technology-related investment of up to £1 billion ($1.38bn) is one of the deals set to be struck the two states.

"We haven’t put a number on it because we’re deliberately not boxing ourselves in on numbers... the size will be determined by the need," Penney said.

He said that more clarity will be provided in June but added "it could be bigger than £1 billion".

News of the potential deals follows an agreement between the two states for £1 billion in joint investments in UK's life sciences industry. The UAE's state-owned Mubadala Investment Company will inject £800 million ($1.1 billion)  into the sector, while the UK will provide the remaining £200 million ($277.8 million).

"We have a £1 billion war chest to deploy between our two governments… and we are looking to work with Mubadala to plug that gap and create a funding ecosystem that doesn't exist today," Penney said.

Following the UK's official exit from the European Union last year, London has looked to deepen investments and trade outside of Europe, including in the Gulf.

The Gulf Cooperation Council (GCC), which is the UK's third-largest export market outside of Europe, is currently in talks with British officials about establishing a free trade agreement. 

Follow us on Facebook, Twitter and Instagram to stay connected