Focus on innovation
Italy’s industrial strategy creates opportunities in innovative industries like cyber security, digital transformation and life sciences. The Italian market has a high level of internationalisation and entrepreneurship, with fully integrated supply chains.
Strong relationship
UK businesses are very important to Italy, and investors are committed to their UK projects. There is an appreciation for British professional services, technology and quality consumer goods.
Growing trade exchange
Italy hosts many trade exhibitions with global appeal. The northern region of Lombardy is particularly important to the Italian economy, and trade between the UK and Lombardy has been growing in recent years.
Top five UK goods exported to Italy , in the four quarters to the end of Q3 2023
| Goods | Value (£ billion ) |
|---|---|
| Cars | |
| Mechanical power generators (intermediate) | |
| Non-ferrous metals | |
| General industrial machinery (intermediate) | |
| Crude oil |
Source:
ONS Trade in goods: country-by-commodity exports
Last updated: November 2023
Download the latest trade and investment factsheet for Italy.
Top five UK services exported to Italy , in the four quarters to the end of Q1 2023
| Service | Value (£ billion ) |
|---|---|
| Other Business Services | |
| Travel | |
| Transportation | |
| Financial | |
| Telecommunications, computer and information services |
Source:
ONS UK trade in services: service type by partner country, non-seasonally adjusted
Last updated: July 2023
Download the latest trade and investment factsheet for Italy.
Total import value (into the UK from Italy) and export value (from the UK into Italy) over time
| Year | Imports (£ billion ) | Exports (£ billion ) | Total trade (£ billion ) |
|---|---|---|---|
| 2016 | 23.4 | 16.0 | 39.4 |
| 2017 | 24.5 | 16.6 | 41.2 |
| 2018 | 26.9 | 17.4 | 44.3 |
| 2019 | 27.3 | 18.0 | 45.3 |
| 2020 | 21.1 | 14.4 | 35.6 |
| 2021 | 22.2 | 15.0 | 37.2 |
| 2022 | 30.8 | 16.4 | 47.3 |
Source:
ONS UK total trade: all countries, seasonally adjusted
Last updated: October 2023
Total trade is the sum of all exports and imports over the same time period.
Download the latest trade and investment factsheet for Italy.
Italy: at a glance
Economic growth
3.7%
Actual figure (IMF, 2022)
The UK is 4.0% (IMF, 2022, actual figure)
GDP per capita
$35,842
Actual figure (IMF, 2021)
The UK is $46,422 (IMF, 2021, projected figure)
Currency
Euro
Business languages
Italian
You may need a translator
Time zone
GMT +1
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Opportunities for exporters
Italy is one of our largest export markets. There is high demand for skills in technology and engineering. Some important sectors include defence, aerospace, advanced engineering and life sciences technology.
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Cyber security is a growing area in Italy.
Demand for specialist skills
Research and innovation are very important in Italian industry. With high levels of research and development spending, there is strong demand for new digital skills and business models.
Cyber security market
Italy’s cyber security market is growing and a high priority for the country. It is a key part of the country's digital transformation strategy.
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The Italian National Health System (SSN) is going through reform and modernisation to take on the challenges of an ageing population. The focus on prevention and outpatient care creates public and private sector opportunities.
Modernising healthcare
There is a market for medical devices and e-health applications as part of Italy’s drive to create a more modern health service.
Prevention and ageing
Innovative aids for older and disabled people are a growing priority. Prevention is becoming a bigger focus, and products and services in this area are in demand.
Digital health
A national plan to make public services more digital is driving innovation. There is demand for technologies to improve services, limit inefficiency and reduce regional differences.
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The Italian aerospace industry is one of the largest in the world. Aerospace and advanced engineering are priority sectors for imports.
History and innovation
Italy hosts both large, established aerospace companies with strong supply chains, and innovative smaller businesses. The country has played an important part in aircraft development projects, including Airbus and Dreamliner.
Support for exporters
The UK government's aerospace team in Italy has strong relationships with many Italian and British trade associations. They attend major air shows, including Farnborough, to help UK companies source opportunities in research and development and in business.
Check for trade barriers
Trade barriers, such as tariffs or taxes, can raise costs, cause delays, or even stop you from exporting. Check for any issues that may impact your business when exporting.
Check duties and customs
Find information on how to export goods from the UK. View the duties, rules, restrictions, and the documents you need for your products.
Doing business in Italy
Preparing to export
VAT
VAT is known as IVA in Italy. The standard rate is 22%. There are reduced rates for some products, including basic foods, and some services are exempt.
You can find out more about VAT in Italy from the website of the Italian Revenue Agency.
Payment terms
Payment periods are longer than in the UK. Business-to-business payments can take several weeks but in some sectors can take months or longer, especially where creditors are public bodies. A prompt payment code of practice has recently been introduced.
Standards and regulations
Products and packaging should meet EU standards, but Italy is more strict in some areas. This includes packaging and labelling.
Ente Nazionale Italiano di Unificazione (UNI) has responsibility for Italian national standards. Comitato Elettrotecnico Italiano (CEI) is responsible for electrics, electronics and telecommunications regulations
Services regulations
Information on rules for selling services and business travel to Italy is available on gov.uk
Trade barriers
Check for any reported barriers to trading with Italy.
Report any trade barriers that are affecting your business so we can help fix them.
Operating in Italy
Business culture
Reforms in recent years have made it easier for companies to enforce contracts, register properties and resolve insolvency.
Intellectual property
Intellectual property (IP) rights are territorial. Rights granted in the UK do not provide protection elsewhere. You should consider getting IP protection abroad if you want to trade overseas or sell to overseas customers via the internet.
The Intellectual Property Office’s International IP Service provides practical information to help you protect, manage and enforce your IP abroad. Further support can be accessed through the service’s network of IP attachés. Based in key UK export markets, they provide guidance to British businesses on local IP matters.
Using agents or distributors
Often the best way to start selling in Italy is to use an agent or distributor.
You should find a tax and legal adviser before entering into any contracts. Contact DIT's team in Italy for help.
Next steps
Get ready to do business abroad
Step-by-step lessons to accelerate your exporting ability.
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