Japan 'poised to begin informal trade talks with UK'

More than 1,000 Japanese companies currently operate in Britain. - Reuters

Japan is poised to begin informal trade talks with the UK to secure a swift trade deal after Brexit.

Shinzo Abe’s government has signalled an intention to open a dialogue with the UK while it remains in the EU, even though formal bilateral negotiations cannot begin until it has left the bloc, according to the Japanese newspaper Nikkei.

More than 1,000 Japanese companies currently operate in Britain employing some 140,000 people in the country, while Japan’s direct investment in the UK has topped 10 trillion yen (£71bn).

Japan is currently locked in long-running negotiations with the EU to secure a trade deal.

Japan and the EU began a new era of cooperation in the early Nineties and launched free trade talks in 2013. However, the sides are still negotiating tariffs on food, drink and cars after 18 rounds of talks.

Mr Abe said over the weekend that he would aim to reach a Japan-EU free trade deal during a visit to Germany to attend a G20 summit next month.

The Nikkei claimed “the Japanese and British governments will prepare [informal] talks behind the scenes” in the coming months.