Sign in Subscribe
Trade agreements

UK and India Sign Landmark Trade Deal, Boosting Bilateral Relations and Economic Growth

Strategic Insights

— 2 min read

UK Prime Minister Sir Keir Starmer and Indian Prime Minister Narendra Modi are set to sign a landmark trade deal, marking a major win for Britain and unlocking billions of investment in the UK. The agreement, which was agreed upon in May, has already resulted in £6 billion in investment for the British economy, creating thousands of jobs and driving growth across the country. The deal is expected to have a significant impact on the UK economy, with tariffs on British goods being reduced from an average of 15 per cent to 3 per cent, and whisky tariffs being slashed in half.

Key Takeaways:

  • The UK-India trade deal is expected to create 2,200 jobs across the country, with £6 billion investment by British and Indian businesses.
  • 26 British companies have secured new business in India, with Airbus and Rolls-Royce signing contracts worth £5 billion to deliver aircraft to major Indian airlines.
  • 18 firms have confirmed new investment, including Zerowatt Energy, AI powered energy intelligence platform, which is setting up its Global HQ in Leicester and investing £10m and creating 50 new jobs.
  • The deal will unlock 250 jobs across London, Glasgow, and Huddersfield, as well as 100 jobs in Mumbai, with Carbon Clean, a UK-based leader in carbon capture, investing £7.6 million in a Global Innovation Centre in Mumbai.
  • AI and data services company, DCube AI, is investing £5 million in the UK, unlocking 50 jobs across Manchester and London in the next three years.
  • The UK and India are also bolstering co-operation on tackling corruption, fraud, organised crime, and illegal migration, by sharing criminal records and other intelligence.
  • The deal has not given the UK as much access as it would have liked to India's financial and legal services industries, but promises some benefits for the UK's financial services.
  • Labour has portrayed the deal as evidence of the Government's pragmatism and global outlook, but the Conservative Party has claimed that it was made possible by Brexit.

Statistics:

  • £6 billion in investment for the British economy
  • 2,200 jobs expected to be created across the country
  • £5 billion worth of contracts signed by Airbus and Rolls-Royce to deliver aircraft to major Indian airlines
  • £10m invested by Zerowatt Energy in Leicester and creating 50 new jobs
  • 250 jobs unlocked across London, Glasgow, and Huddersfield, as well as 100 jobs in Mumbai
  • £5 million invested by DCube AI in the UK, unlocking 50 jobs across Manchester and London in the next three years

Sources:

  • The Times
  • The Telegraph
  • The Guardian
  • PA Wire
  • AP

Read more