Tue, 06 May 2025

Tue, 06 May 2025 UK and India agree trade deal after three years of talks

The deal will improve access for UK whisky and cars to the Indian market, and cut taxes on India's clothing and footwear exports.

* The UK and India have agreed a "landmark" trade deal that will make it easier for UK firms to export whisky, cars, and other products to India.
* Tariffs on goods coming into the country from India will be reduced, including: + Gin and whisky tariffs halved to 75% + Car tariffs of 100% falling to 10% subject to a quota + Lower tariffs on clothing and footwear exports
* The deal also includes provisions on the services sector and procurement, allowing British firms to compete for more contracts.
* UK consumers will benefit from lower prices on goods coming into the country from India.
* The trade deal is expected to boost trade between the two countries by an additional £25.5bn a year by 2040.
* The agreement includes a three-year exemption from social security payments for some Indian and British workers transferred temporarily between the two countries.
* The UK government has emphasized that the deal does not include any change in immigration policy, including towards Indian students studying in the UK.
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