BRITISH Chancellor Rachel Reeves has travelled to Madrid as part of an economic push to strengthen ties with Spain and the broader European Union.
The visit was marked by major investment announcements from Spanish companies in the UK.
At the centre is energy giant Iberdrola, which is reinforcing its €20 billion UK investment plan.
The move will see billions channelled into upgrading electricity networks – critical infrastructure to support the UK’s green transition and future growth.
Spanish logistics firm Exolum is also investing £240 million in the UK, expanding its storage and logistics operations across key military sites and major airports, including London Stansted and Manchester, reinforcing its role in critical infrastructure.
Meanwhile, defence and transport company Indra Group is set to create 600 jobs in the UK after securing a seven-year contract to operate Transport for London’s ticketing system, further strengthening the country’s transport technology sector.
Reeves met with 120 business leaders as part of the first Spain-UK Trade and Investment Dialogue, held alongside a business forum bringing together leading companies from both countries.
The meeting forms part of the Bilateral Strategic Framework agreed last September, when Spanish Prime Minister Pedro Sanchez visited London.
She also met her Spanish counterpart Carlos Cuerpo and an agreement focussed on improving mobility for professionals was signed.
The Spanish government has agreed to exempt British nationals from visa requirements for short-term work stays of under 90 days.
While UK nationals can already travel to Spain for up to 90 days within a 180-day period for tourism without a visa, any work activity has typically required a short-term (C-type) or long-term (D-type) visa obtained in advance from a Spanish consulate.
The proposed change is expected to make it easier for British businesspeople to travel to Spain for short-term assignments.
The UK–Spain trade relationship continues to grow, with total EU exports to the UK rising by 0.7 per in 2025, while Spanish exports increased by 4.5 per cent, underlining Spain’s growing role as a key partner.
The UK is now the second-largest destination for Spanish investment, with the relationship supporting tens of thousands of jobs.
The visit comes amidst Reeve’s push to foster stronger ties with the EU.
Speaking at a conference on Tuesday she said: “No trade agreement with an individual nation can surpass the relationship we have with the EU bloc, whose supply chains and ours are so interconnected.”
‘This government is not going to turn back the clock,’ on Brexit she added, ‘but we want to look ahead, towards a new and stable reality.’
The visit highlighted the importance of the Spain-UK trading relationships and signals a growing commitment to rebuilding EU–UK economic relations.
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