[LONDON] The UK reached an agreement with Switzerland that will allow it to continue trade without any additional tariffs after it leaves the European Union (EU).

The deal means the nations can avoid having to trade under World Trade Organization terms, and eliminates duties on most goods traded between the UK and Switzerland, according to a statement on Monday. The British car sector could avoid up to £8 million (S$14 million) a year in tariff charges under the agreement, it said.

"Switzerland is one of the most valuable trading partners that we are seeking continuity for, accounting for more than £32 billion worth of trade a year," Trade Secretary Liam Fox said.

"Not only will this help to support jobs throughout the UK but it will also be a solid foundation for us to build an even stronger trading relationship with Switzerland as we leave the EU."

BLOOMBERG