Germany and United Kingdom
Defense, business and science maintain close connections after Brexit. The 2025 Kensington Treaty incorporates bilateral mechanisms distinct from the general UK–EU relationship. Climate cooperation, security and mobility have their own obligations and procedures.
Analysis reviewed: 2026-10-07 · Indicators updated: 2026-10-07The Kensington Treaty
The governments signed the treaty of friendship and cooperation on 17 July 2025.
Security and resilience
The treaty incorporates security, defense and resilience cooperation within national decisions and European and Atlantic frameworks.
Bilateral indicators
Blank cells: data unavailable.
| Indicator | Value | Period |
|---|---|---|
| Goods trade | 133,902.05 M USD | 2025 · UN Comtrade / DEU |
| Goods: Germany to United Kingdom | 90,769.81 M USD | 2025 · UN Comtrade / DEU |
| Goods: United Kingdom to Germany | 43,132.24 M USD | 2025 · UN Comtrade / DEU |
| Services trade | ||
| Export share: Germany to United Kingdom | 5.12 % | 2025 · UN Comtrade / DEU |
| Export share: United Kingdom to Germany | ||
| Investment stock: Germany in United Kingdom | ||
| Investment stock: United Kingdom in Germany |
Definitions and sources
Trade adds both directions. Shares refer to the country’s total goods exports; investment is an accumulated stock, not an annual flow. Every figure retains the currency and period of its source. BEA positions are historical-cost estimates based on the immediate counterpart, not market values or investment by ultimate owner. ‘More than’ indicates a lower bound, not an exact amount. A recorded stock does not establish new activity or authorisation to operate under sanctions.
- Goods trade
- 2025 · UN Comtrade / DEU · Goods; full year; DEU reporter. Exports normally FOB and imports CIF according to the reporter's coverage. No addition of mirror reports.
- Goods: Germany to United Kingdom
- 2025 · UN Comtrade / DEU · Goods; full year; DEU reporter. Exports normally FOB and imports CIF according to the reporter's coverage. No addition of mirror reports.
- Goods: United Kingdom to Germany
- 2025 · UN Comtrade / DEU · Goods; full year; DEU reporter. Exports normally FOB and imports CIF according to the reporter's coverage. No addition of mirror reports.
- Export share: Germany to United Kingdom
- 2025 · UN Comtrade / DEU · Goods share: DEU exports to the partner / the same reporter's exports to the world, same year.
Country comparison
Period and source beside each figure · est. = estimate by the stated institution.
Year-on-year inflation: different periods or frequencies; the two figures are not directly comparable.
| Indicator | Germany | United Kingdom |
|---|---|---|
| Nominal GDP | 5.05 trillion USD2025 · WB | 4 trillion USD2025 · World Bank |
| GDP per capita | 60,496.44 USD2025 · WB | 57,601.96 USD2025 · World Bank |
| GDP growth | 0.24 %2025 · WB | 1.39 %2025 · World Bank |
| Policy interest rate | 2.5 %2026-09-16 · BCE | |
| Inflation · annual average | 2.17 %Annual average · 2025 · WB | 3.88 %Annual average · 2025 · World Bank |
| Inflation · latest year-on-year figure | 3.3 %provisionalprovisionalYear-on-year · Sept. 2026 · Destatis | 3.1 %Year-on-year · 2026-08 · ONS |
| Unemployment | 3.71 %ILO est.2025 · WB | 4.75 %ILO est.2025 · World Bank |
| Budget balance (% of GDP) | -2.7 %IMF est.2025 · IMF | -5.4 %IMF est.2025 · IMF |
| Gross public debt (% of GDP) | 62.9 %IMF est.2025 · IMF | 102.3 %IMF est.2025 · IMF |
| Current account balance (% of GDP) | 4.51 %2025 · WB | -2.43 %2025 · World Bank |
| Population | 83,491,2492025 · WB | 69,487,0002025 · World Bank |
| Area | 357,680 km²2023 · WB | 243,610 km²2023 · World Bank |
| Military expenditure | ||
| Military expenditure (% of GDP) |
Definitions, dates and sources
Blank cells are not zero. Average annual inflation and the latest year-on-year figure appear in separate rows: they are not the same measure. Every annual indicator retains its reference year; when the years differ, the figures are identified as not directly comparable. When a figure is unavailable from the World Bank, an annual IMF estimate is used and identified as such. The latest year-on-year figure is the latest official release verified as of 7 October 2026. This includes advance releases marked as provisional. Mexico may have a fortnightly figure before the full month is published; it is not automatically compared with a monthly figure. The publication date is retained in each source’s details; it does not replace the observation period or the annual average. Policy rates carry their own dates and represent different instruments. Spain and France share the ECB rate. Balances are positive for surpluses and negative for deficits. The IMF may use fiscal years; unemployment retains each source’s definition (ILO estimates, IMF WEO or PCBS), as stated in the details. For Palestine, debt and the fiscal balance cover central government and retain the PCBS definition; they are not presented as consolidated general government. These are economic magnitudes, not measures of relationship quality.
Area retains each source’s territorial coverage; it does not determine sovereignty or effective control. Canada uses an archived national geographic reference. Military expenditure retains the 2024 SIPRI sample distributed by the World Bank: the amount and percentage of GDP use that same definition, which differs from NATO’s. It is not an approved budget or a 2026 figure. Information from the Stockholm International Peace Research Institute (SIPRI). Military expenditure database · Terms of use0
Indicators reviewed: 2026-10-07. Each source retains its original access date; this review does not turn all the data into 2026 observations. Figures may be revised.
- Nominal GDP
- Current USDGermany: 2025 · World BankUnited Kingdom: 2025 · World Bank · Official World Bank series; observation period, not download date.
- GDP per capita
- Current USD per personGermany: 2025 · World BankUnited Kingdom: 2025 · World Bank · Official World Bank series; observation period, not download date.
- GDP growth
- Annual real change (%)Germany: 2025 · World BankUnited Kingdom: 2025 · World Bank · Official World Bank series; observation period, not download date.
- Policy interest rate
- Central bank instrument (%)Germany: 2026-09-16 · ECB: deposit facility; shared euro-area rate · European Central Bank
- Inflation · annual average
- Average annual change in headline CPI (%)Germany: 2025 · Annual average change in the CPI (%) · World BankUnited Kingdom: 2025 · Average annual CPI change (%) · World Bank · Official World Bank series; observation period, not download date.
- Inflation · latest year-on-year figure
- Headline CPI relative to the same period of the previous year (%); monthly or fortnightly frequency statedGermany: 2026-09 · Change in headline CPI from the same month of the previous year (%) · Destatis · Published: 2026-09-30 · provisional · Provisional · National headline CPI, year-on-year, not monthly inflation or an annual average. Provisional data or an official advance release; subject to revision.United Kingdom: 2026-08 · Headline CPI; change relative to the same month of the previous year · ONS · Headline CPI, not CPIH or core inflation.
- Unemployment
- % of the labour force; definition used by the stated institutionGermany: 2025 · World Bank · ILO est.United Kingdom: 2025 · ILO modelled estimate, percentage of the labour force · World Bank · ILO est. · Official World Bank series; observation period, not download date.
- Budget balance
- General government (% of GDP)Germany: 2025 · IMF — World Economic Outlook · IMF est.United Kingdom: 2025 · IMF · IMF est. · IMF WEO general-government estimate. Retains the source’s fiscal year when it differs from the calendar year.
- Gross public debt
- General government (% of GDP)Germany: 2025 · IMF — World Economic Outlook · IMF est.United Kingdom: 2025 · IMF · IMF est. · IMF WEO general-government estimate. Retains the source’s fiscal year when it differs from the calendar year.
- Current account balance
- % of GDPGermany: 2025 · World BankUnited Kingdom: 2025 · World Bank · Official World Bank series; observation period, not download date.
- Population
- PeopleGermany: 2025 · World BankUnited Kingdom: 2025 · World Bank · Official World Bank series; observation period, not download date.
- Area
- Total area in km²; territorial coverage of the sourceGermany: 2023 · Area according to the series' coverage; does not determine sovereignty or effective control · World BankUnited Kingdom: 2023 · World Bank · Official World Bank series; observation period, not download date.
- Military expenditure
- Current USD per year; SIPRI series
- Military expenditure (% of GDP)
- Percentage of GDP; SIPRI definition, not NATO’s definition
Other data specific to this relationship
What they buy and sell
Documented selection, not an exhaustive list. Cells without a figure do not mean zero value; some products are identified without a verified amount.
Germany to United Kingdom
| Product or sector | Value / share |
|---|---|
| Land vehicles and components | 24,545 M USD2025 · Source |
| Machinery and mechanical appliances | 13,405.4 M USD2025 · Source |
| Electrical and electronic equipment | 6,943.3 M USD2025 · Source |
| Pharmaceutical products | 4,559.5 M USD2025 · Source |
| Mineral fuels and oils | 392.6 M USD2025 · Source |
United Kingdom to Germany
| Product or sector | Value / share |
|---|---|
| Machinery and mechanical appliances | 6,991.3 M USD2025 · Source |
| Mineral fuels and oils | 4,859.2 M USD2025 · Source |
| Land vehicles and components | 4,288.1 M USD2025 · Source |
| Pharmaceutical products | 3,321.3 M USD2025 · Source |
| Electrical and electronic equipment | 3,038.6 M USD2025 · Source |
Connections between people
Education, work, visits and community connections have their own records and procedures. Residents are not equivalent to annual arrivals, and visits may be repeated. The tables retain dates, definitions and sources to distinguish these connections from business contracts and government decisions. [1]
Residents, study and travel
Blank cells: data unavailable. Each measure retains its definition and period.
| Indicator | Value | Period / source |
|---|---|---|
| Residents from Germany living in United Kingdom | ||
| Residents from United Kingdom living in Germany | ||
| Study and training: Germany in United Kingdom | ||
| Study and training: United Kingdom in Germany | ||
| Academic stays: Germany in United Kingdom | ||
| Academic stays: United Kingdom in Germany | ||
| Travel: Germany to United Kingdom | ||
| Travel: United Kingdom to Germany |
What each figure measures
Residents are counted by nationality and the coverage of the stated register, not as people born in the other country or as new arrivals in one year. PERE includes dual nationals and people born outside Spain. Study with OPT and stays carrying academic credit are different measures. Travel may include several visits by the same person; FRONTUR arrivals require an overnight stay, whereas the Canadian survey includes day visits. These figures are neither added together nor automatically compared across directions.
Mobility data added or reviewed: 2026-10-07. Reference periods may be earlier.
Underlying ties
History, institutions and long-standing issues.
The Kensington Treaty
The governments signed the treaty of friendship and cooperation on 17 July 2025. Its text organizes institutional contact and cooperation on various matters. The bilateral document does not replace all instruments between the UK and the EU. Signing, ratification and application of its different provisions must be distinguished from implementation of a single project. [1]
Security and resilience
The treaty incorporates security, defense and resilience cooperation within national decisions and European and Atlantic frameworks. The ministries have sectoral tasks and follow-up mechanisms. That architecture does not turn every military acquisition into a single bilateral expenditure. Industrial companies and joint projects retain their own contracts and schedules. [1]
Climate and economic activity
The text provides for a climate diplomacy dialogue and cooperation on adaptation and emissions reduction. Climate financing and trade in goods are different activities. Research and business infrastructure also requires its own agreements. The profile's customs statistics observe goods, not all the financial or subsidiary activity connecting the two economies. [1]
The scale of the two economies
Germany recorded nominal GDP of 5050.9 billion USD in 2025, compared with 4002.6 in 2025 for the United Kingdom. The reference populations were 83.49 million (2025) and 69.49 million (2025), respectively. In the same year, Germany's nominal GDP was 1.26 times that of the United Kingdom. The figures contextualize market size; they do not in themselves describe well-being, individual wealth or political influence. IMF estimates or demographic extrapolations retain their markings in the table. A ratio is not calculated when the periods do not match. [3] [4] [5] [6]
Recent developments
Recent developments and latest available data · Reviewed: 2026-10-07
The July 2025 signing
The treaty documents an expansion of the bilateral channel after Brexit. It allows goals and authorities to be identified without treating every projection as an accomplished result. The 2025 data are an independent annual reference. Prices, demand and production chains also matter when interpreting economic trends; a diplomatic signing does not in itself explain every trade change. [1]
Observed economic exchange
In 2025, recorded goods trade between Germany and the United Kingdom totaled USD 133,902.1 million. Shipments from Germany to the United Kingdom were 90,769.8 million USD; those in the opposite direction were 43,132.2 million USD. Germany's shipments to the partner represented 5.12 % of its goods exports to the world, using the same year and reporting country. A single customs declaration is used for both directions. This annual flow does not include all services activity or subsidiaries' local sales and is not added to accumulated investment capital. [2]
Milestones and consequences
Sources and data
Periods and scope of the figures
Each figure retains its period, unit, definition and source. Announcements, contracts and results are not interchangeable. Empty cells do not mean zero. Customs data for 2025 are not presented as activity observed during later crises.
- Kensington Treaty of Friendship and Cooperation
UK Government · Institutional source · Document: 2025-07-17 · Accessed: 2026-10-07
- Annual TOTAL X/M; 2025; reporter 276; partners 0,699,826,380
UN Comtrade / DEU · Institutional source · Accessed: 2026-10-07
- Official statistics
World Bank · Institutional source · Accessed: 2026-10-07
- NY.GDP.MKTP.CD; country ISO and year preserved; no military data; exact requested country subset independently re-fetched and values compared
World Bank · Institutional source · Accessed: 2026-10-07
- Official statistics
World Bank · Institutional source · Accessed: 2026-10-07
- SP.POP.TOTL; country ISO and year preserved; no military data; exact requested country subset independently re-fetched and values compared
World Bank · Institutional source · Accessed: 2026-10-07
- HS2 27; 2025; reporter 276; partners 699,826,380; X/M; annual goods
UN Comtrade / DEU · Institutional source · Accessed: 2026-10-07
- HS2 30; 2025; reporter 276; partners 699,826,380; X/M; annual goods
UN Comtrade / DEU · Institutional source · Accessed: 2026-10-07
- HS2 84; 2025; reporter 276; partners 699,826,380; X/M; annual goods
UN Comtrade / DEU · Institutional source · Accessed: 2026-10-07
- HS2 85; 2025; reporter 276; partners 699,826,380; X/M; annual goods
UN Comtrade / DEU · Institutional source · Accessed: 2026-10-07
- HS2 87; 2025; reporter 276; partners 699,826,380; X/M; annual goods
UN Comtrade / DEU · Institutional source · Accessed: 2026-10-07
Additional sources on products and human connections
- UN Comtrade / DEU
2026-10-07 · Accessed: 2026-10-07 · HS2 27; 2025; reporter 276; partners 699,826,380; X/M; annual goods.
- UN Comtrade / DEU
2026-10-07 · Accessed: 2026-10-07 · HS2 87; 2025; reporter 276; partners 699,826,380; X/M; annual goods.
- UN Comtrade / DEU
2026-10-07 · Accessed: 2026-10-07 · HS2 84; 2025; reporter 276; partners 699,826,380; X/M; annual goods.
- UN Comtrade / DEU
2026-10-07 · Accessed: 2026-10-07 · HS2 85; 2025; reporter 276; partners 699,826,380; X/M; annual goods.
- UN Comtrade / DEU
2026-10-07 · Accessed: 2026-10-07 · HS2 30; 2025; reporter 276; partners 699,826,380; X/M; annual goods.