Despite Brexit, trade relations between Poland and the United Kingdom have not only been maintained but have also gained new momentum. In 2023, the value of trade in goods and services reached a record-breaking €36.4 billion, according to a report by the British-Polish Chamber of Commerce (BPCC). Bilateral investments are also on the rise. Over 1,400 British-capital companies are currently operating in Poland, employing approximately 113,000 people. At the same time, Polish businesses are increasingly exploring the UK market, particularly in strategic sectors such as energy, defense, technology, and finance.
According to the BPCC report, “The Potential of Polish-British Economic Cooperation,” Polish business activity in the UK is growing steadily. In 2022, Polish direct investments exceeded £460 million, marking a 217.2% increase compared to 2021. Many Polish entrepreneurs see the UK as a key platform for global expansion due to its business-friendly regulations, well-developed infrastructure, and strong transcontinental trade links. The attractiveness of the British market and favorable macroeconomic conditions are encouraging more companies to engage in mergers and acquisitions in the UK. A crucial factor behind this trend is the ability to bypass trade barriers imposed by Brexit, which is particularly important for the export of food products.
“Between 2008 and 2012, the stereotype of the ‘Polish plumber’ was prevalent, but today we are talking about mergers and acquisitions. With surplus capital, Polish companies are investing in British businesses, effectively filling supply chain gaps in niche services, IT, and modern technologies. This is where Polish engineers, IT specialists, and the manufacturing industry can significantly support the development of the British economy,” said Marcin Cichy, Managing Director of the BPCC, in an interview with Newseria. “Examples include eSky’s acquisition of the historic travel agency Thomas Cook, InPost’s investments, and numerous other ventures, including in the defense sector, demonstrating the immense potential. With our support and various initiatives, we expect even greater demand for Polish businesses to enter the UK market.”
Growing British Investments in Poland
The value of British investments in Poland is also rising. UK investors rank fifth among the largest foreign investors in Poland.
“British foreign investments are very significant for Poland. Currently, we have around 1,500 companies with British capital, generating nearly 115,000 jobs, which is a substantial figure,” said Marcin Cichy.
The BPCC report highlights that the cumulative value of British investments in Poland reached PLN 91.4 billion, representing a 103% increase compared to 2018. Major investors include GSK, BP, Castorama, and HSBC. The rise in reinvested profits indicates that investors trust Poland’s economic prospects and intend to establish a long-term presence. These reinvested funds are primarily allocated to business expansion, production increases, research, and innovation, strengthening Poland’s competitive advantage. Many of these investments focus on renewable energy and decarbonization strategies, bringing benefits to the local economy.
“The key sectors benefiting from economic cooperation include energy, logistics, transport, and construction,” explained the BPCC director.
According to EY, Poland ranks sixth in Europe in terms of investment attractiveness and 18th in renewable energy investment appeal. Future collaboration between Poland and the UK is expected to focus on the energy sector, particularly in energy transition projects, as well as the defense industry. The UK is already a strategic partner for Poland in adopting defense technologies and modernizing the Polish Armed Forces through projects such as the Narew missile system and Miecznik frigates.
“We also have excellent examples of R&D development in shared services. Additionally, the potential reconstruction of Ukraine presents opportunities for both Polish and British companies, which will likely use Poland as a logistical hub for further expansion into the Ukrainian market,” said Michał Obiegała, Chairman of the BPCC.
Trade Growth and Increasing Service Exchange
BPCC data confirms that trade relations have gained momentum despite Brexit. In 2023, the value of trade in goods and services reached €36.4 billion, marking a 35% increase compared to 2018. A particularly significant rise was observed in service trade (+70%). The UK ranks as the third-largest recipient of Polish services (7.7%) and the second-largest supplier of services to Poland (8.1%). This growth is driven by IT, consulting, financial, and outsourcing services, highlighting Poland’s increasing role as a regional business hub.
“The economic cooperation outlook between Poland and the UK remains very positive. When looking at macroeconomic and trade data, the economic balance between the two countries continues to grow,” said Michał Obiegała.
The UK remains Poland’s fourth-largest export market, accounting for 5.3% of total foreign sales. In 2023, Polish exports to the UK were valued at €17.5 billion, while imports amounted to €6.1 billion. Preliminary data from Poland’s Central Statistical Office (GUS) for the past year indicate a 5.5% increase in exports, reaching €18.5 billion.
The primary categories of Polish exports to the UK include machinery, equipment, transport equipment, food products, and live animals, as well as industrial goods. These three categories accounted for over 75% of total exports. Conversely, the main categories of imports from the UK in 2023 were machinery, equipment, transport equipment, chemicals, and related products, as well as industrial goods, representing over 71% of total imports. Poland maintains a significant trade surplus with the UK, amounting to €11.4 billion.
“The current geopolitical situation in international trade is not necessarily favorable for trade relations between EU countries, including Poland and the UK. However, every crisis presents an opportunity for growth in previously underdeveloped trade areas,” concluded the BPCC chairman.
