The nonlocal symmetry of the generalized fifth order KdV equation(FOKdV) is first obtained by using the related Lax pair and then localizing it in a new enlarged system by introducing some new variables. On this basis, new Ba¨cklund transformation is obtained through Lie’s first theorem. Furthermore, the general form of Lie point symmetry for the enlarged FOKdV system is found and new interaction solutions for the generalized FOKdV equation are explored by using a symmetry reduction method.