Sir Keir Starmer has said it is the moment to reset relations between the UK and the Republic of Ireland.
On Saturday, he became the first British prime minister to visit the Republic of Ireland in five years.
Downing Street said the visit marked a “new era of co-operation and friendship” between Britain and Ireland.
The prime minister held talks with Taoiseach (Irish Prime Minister) Simon Harris who was elected in April, just three months before his British counterpart – both are new to their roles.
Simon Harris described Sir Keir as his friend during their Dublin meeting
After their talks, Sir Keir said there was a “huge amount of bi-lateral trade between our countries”.
“I think £100bn / £120bn,” he said. “That is why this is such an important relationship.
“Our economies, our markets are intertwined and have been for a very long time and so the foundation upon which we sort of base this reset is, I think, strong.”
The two leaders also pledged to hold annual summits on trade and co-operation.
Mr Harris said he was “really delighted” that both leaders had had the “opportunity for an ambitious reset of the UK-Ireland relationship”.
“We’ve had a very productive meeting with our teams and we’ve agreed on the importance of our responsibilities as co-guarantors of the Good Friday Agreement,” he said.
“I’m also delighted that we’ve agreed a structure for engagement – an annual summit.
The first summit is expected to be held in March and will discuss trade and security.
Sir Keir said pressing international issues including Ukraine and the conflict in Middle East had also been on the agenda for the meeting.
“In the face of Russian aggression, we have to stand together, to co-ordinate, stand with our allies and give Ukraine all the support that it needs for as long as it needs,” he said.
“In relation to the Middle East, we need a ceasefire so that the remaining hostages can come out, so that desperately-needed aid can get in to Gaza, and that we can step down the path towards a two-state settlement, which in my view is the only lasting settlement that will bring about lasting peace.”
Reported by BBC