The leaders of the three countries announced on Friday that Britain's free trade agreement with New Zealand and Australia will enter force on May 31.

UK Prime Minister Rishi Sunak, Australian Prime Minister Anthony Albanese, and New Zealand Prime Minister Chris Hipkins made the announcement as the three leaders prepare to hold talks in London ahead of the coronation of King Charles III.

The agreements are a cornerstone of Britain's efforts to deepen its commercial connections with other countries after it left the EU. Both agreements were initially reached in 2021.

Under the deals, more than 99 percent of all Australian and New Zealand exports to the UK will be exempt from duties.

According to New Zealand officials, the agreement will increase the country's economy by up to 1 billion New Zealand dollars ($629 million) and assist raise sales of goods including wine, butter, meat, and honey.

Hipkins said the “gold-standard” trade agreement reflected the close relations between the UK and his country.

“This is a gold-standard FTA, reflecting the close relationship between our two countries. The market access outcomes are among the very best New Zealand has secured in any trade deal,” Hipkins said.

British Prime Minister Rishi Sunak said the deal with New Zealand reflected the close relationship between the nations.

"This deal will unlock new opportunities for businesses and investors across New Zealand and the United Kingdom, drive growth, boost jobs, and, most importantly, build a more prosperous future for the next generation," Sunak said in a statement.

UK officials have estimated its deal will increase the size of the country’s gross domestic product (GDP) by 800 million pounds ($1bn).

Australian Prime Minister Anthony Albanese said the deal would mean more market access for its exporters.

"So for beef, for our sheep products, for our seafood, for our other products it will mean much greater access to the British market," Albanese told the Australian Broadcasting Corp. in an interview.

The deals also expand the countries’ respective working holiday schemes, making it easier for young jobseekers to take up employment.

Following the expansion of the working holiday agreement's terms, Albanese claimed that younger Australians would have easier access to jobs in Britain and vice versa. A similar program between New Zealand and Britain has also been increased, extending the eligibility age from 30 to 35 and extending the duration of work permits from two to three years.

Image source: AP