India-UK Trade Deal

India and the UK have agreed a landmark trade deal which delivers on the UK government's core mission of growing the economy, raising living standards, and putting money in people’s pockets.

The UK’s Business and Trade Secretary Jonathan Reynolds and Indian Commerce Minister Piyush Goyal held final talks in London, in April, to agree the biggest and most economically significant bilateral trade deal the UK has done since leaving the EU, and the best deal India has ever agreed to.

The current bilateral trade between both countries is £43 billion and this deal is expected to increase bilateral trade by £25.5 billion in the long run, delivering economic growth and supporting jobs across both nations.

Read the UK-India trade deal press releaseopens www.gov.uk in a new tab.

Slash tariffs and reduce trade barriers

This deal either eliminates or significantly reduces tariffs on the vast majority of goods between the UK and India. Lower tariffs will help cut costs for both UK and Indian businesses. For India, lower tariffs will cut costs and supports jobs in sectors such as textiles and agri-food. Lower tariffs on the UK’s high-quality products such as Scotch whisky, Scottish salmon, electric vehicles, advanced manufacturing and medical devices will help Indian businesses and consumers access the high-quality goods and innovative products that the UK prides itself on.

Paves the way for the financial sector

One of the landmark features of this agreement is its pioneering standalone financial services chapter—a significant first for India. This provides crucial legal certainty and equal treatment for financial institutions from both nations, including insurers and fintech companies. Indian firms can now expand their UK operations with enhanced confidence, while British expertise and capital can more readily support India's dynamic financial ecosystem.

Greater opportunities for professionals

The new business mobility commitments agreed in the trade deal will enable specialists from both nations to seamlessly deliver their expertise – whether in financial services, education, information technology or yoga instruction. These negotiated access arrangements provide businesses with the certainty needed for long-term planning and investment, strengthening the trading relationship between the two countries and unlocking opportunities for learning and mutual economic growth.

Enhanced access to world-class British products

The UK is globally recognised for its exceptional products and services. From Scotland's internationally acclaimed whisky and salmon to our thriving innovations in electric vehicles, medical devices and luxury goods – Indian consumers will gain greater access to the very best of British.

Easier for UK small and medium-sized enterprise (SMEs) to export perishable goods

Trading with India will become simpler. India has agreed to process goods more quickly after they arrive at customs. This will be achieved by introducing new timeframes for the release of goods, and by publishing customs procedures and laws in English and online. It will also support electronic contracts and transactions through new digital agreements. Equally, this deal will reduce trade barriers further to give India’s SMEs greater access to the UK’s market.