Youngsters may now work in Britain and their counterparts here under a bilateral working holiday scheme starting on January 1.
Britain is the ninth country to be included under the scheme, which began in 2001.
Secretary for Labour and Welfare Matthew Cheung Kin-chung made the announcement at Central Government Offices, Tamar, yesterday.
It followed a meeting with the British Consul General to Hong Kong and Macau, Caroline Wilson.
"Britain is one of the popular tourist destinations for Hong Kong people. The arrangement will further strengthen bilateral ties between the two places," Cheung said.
Wilson said: "Britain is pleased to welcome Hong Kong young people to our youth mobility program. It strengthens long-standing social ties between Britain and Hong Kong, and should promote greater cultural, economic and business links."
Hong Kong youngsters may apply for a visa under the Youth Mobility Scheme, which will allow them to stay in Britain for up to two years.
They will be able to take up employment in order to finance their stay, study self-financed courses or participate in volunteer services.
While there is an annual quota of 1,000 for SAR passport holders, those with British National (Overseas) passports will not be subject to a quota.
Similarly, youngsters from Britain may apply for the Working Holiday Scheme visa, which will allow them to stay here for up to 12 months.
Hong Kong already has such arrangements with New Zealand, Australia, Ireland, Germany, Japan, Canada, Korea and France.
The scheme gives youngsters an opportunity to broaden their horizons and gain work experience in another country.
So far, more than 30,000 Hong Kong youngsters have benefited under the scheme.