Leaders from the world’s biggest economies are this week tucked away in Kananaskis, a remote, mountainous part of Alberta, Canada, for the 2025 G7 Summit. With wildfires, war and economic pressure dominating the global picture, the setting might feel calm — but the stakes are anything but.

For host Prime Minister Mark Carney, this is a defining moment. It’s his first G7 as Canada’s leader, and he’s stepping into a complex geopolitical storm. And for UK Prime Minister Keir Starmer, it’s a chance to establish the UK’s tone on the world stage. Here’s what it means for UK business, and the key topics up for discussion.

What’s the agenda?

Originally set to focus on climate, energy transition and global partnerships, the agenda has taken a sharp turn. The situation in Iran has escalated rapidly, forcing G7 leaders to address it head-on. It’s a tense and divisive topic, and finding common ground won’t be easy.

All eyes have been on Mark Carney as he navigates a high-pressure summit — especially with the early departure of US President Donald Trump. Known for clashing with Canadian leaders and often undermining multilateral efforts, Trump’s exit added an unpredictable twist to proceedings. But Carney, drawing on his reputation for calm, principled leadership from his Bank of England days, has worked to steady discussions and keep the focus on cooperation and results.

Why should UK businesses care?

While the headlines may focus on geopolitics, the G7 remains deeply relevant to UK businesses. This year’s themes — peace and security, digital and energy transitions, and fair global partnerships — intersect directly with sectors where the UK has a stake: green energy, AI governance, digital infrastructure, and international trade.

The summit also marks a shift in tone. Instead of delivering one sweeping communiqué, Canada will issue targeted statements — a practical move that aims to sidestep the usual diplomatic stalemates and focus on action. That means opportunities for clearer direction on things that matter to business: investment in clean tech, new trade pathways, and global standards around AI and cybersecurity.

Trade deals and diplomatic balancing acts

On Monday 16 June, a key development came as US President Donald Trump signed off on a partial trade deal with the UK — the first concrete agreement since the US introduced sweeping tariffs earlier this year.

The deal, while limited, reduces some trade barriers and brings into force elements of an agreement reached between London and Washington last month.

It includes tariff reductions on UK-manufactured cars exported to the US — a vital win for British industry. However, most UK goods will still face a 10% levy, and no resolution has been reached on steel tariffs — a sticking point for UK manufacturers.

Speaking at the G7 summit, Starmer described the deal as “a very important day” for both countries. While it may not solve every trade dispute, it signals a willingness to cooperate and protects some of the UK’s key exports from harsher penalties. For businesses, that means a degree of reassurance in otherwise uncertain waters.

The UK’s new voice

With Brexit in the rear-view mirror, the UK is looking to reassert itself as a reliable and constructive force. That’s good news for British firms wanting clarity, stability, and opportunities abroad — particularly in the face of growing US-EU trade friction.

There’s also a growing push to diversify supply chains, reduce dependency on volatile partners, and build economic resilience — again, areas where UK business has a lot to offer.

Not just talk but signals

The G7 doesn’t always get the best press. It’s often dismissed as a talking shop for the global elite.  But G7 gatherings have a habit of shaping the global agenda in quiet but lasting ways. They send signals about where the world is heading — and where there’s alignment (or fracture) between major powers.

For businesses watching from the sidelines, that signal matters. Whether it’s trade rules, tech regulation or global climate finance, what’s discussed in the room can influence the shape of the economy we’ll be operating in tomorrow.

In a snapshot: Who’s attending

G7 core leaders

  • Canada – Prime Minister Mark Carney (Host)
  • France – President Emmanuel Macron
  • Germany – Chancellor Friedrich Merz
  • Italy – Prime Minister Giorgia Meloni
  • Japan – Prime Minister Shigeru Ishiba
  • United Kingdom – Prime Minister Keir Starmer
  • United States – President Donald Trump
  • European Union –

    • President of the European Council António Costa
    • President of the European Commission Ursula von der Leyen

Invited leaders and guests

Australia – Prime Minister Anthony Albanese
Brazil – President Luiz Inácio Lula da Silva
India – Prime Minister Narendra Modi
Mexico – President Claudia Sheinbaum
South Africa – President Cyril Ramaphosa
South Korea – President Lee Jae‑myung
Ukraine – President Volodymyr Zelenskyy
NATO – Secretary-General Mark Rutte
United Nations – Secretary-General António Guterres
World Bank – President Ajay Banga