LONDON (Reuters) - Engineers from Britain and the United States have struck a mutual recognition agreement of industry qualifications and licences which is set to make it easier for professionals to work on either side of the Atlantic.

Britain is seeking to build stronger economic ties with the United States after it left the European Union, though U.S. President Joe Biden's administration has frozen all free-trade talks at a federal level.

Former Prime Minister Rishi Sunak last year pledged to work towards the mutual recognition of professional qualifications in areas like engineering as part of the so-called Atlantic Declaration signed with Biden to deepen co-operation, after a similar deal for architects was unveiled earlier in 2023.

The UK's Engineering Council and the U.S National Council of Examiners for Engineering and Surveying signed the agreement in Chicago on Tuesday evening, Britain's Department for Business and Trade said, adding the government had supported the talks.

"The services sector accounts for over 80% of the UK economy, so making it easier for British businesses to sell their services around the world is vital for economic growth," junior trade minister Douglas Alexander said.

Since winning a parliamentary election last month, new Prime Minister Keir Starmer has made improving Britain's economic growth a central plank of his government's agenda.

The deal simplifies processes for engineers to get certification, have qualifications recognised or move between the two countries, and reduces restrictions on cross-border services provision.

Although participation will be determined by individual U.S. states, 26 of them have already confirmed their intent to sign up, Britain said in a joint release with the Engineering Council.