Friday, July 31, 2026

World News

Photo Credit : ANI

India-UK seal historic Free Trade Deal, slashing tariffs and boosting jobs

India and the United Kingdom have signed a sweeping Free Trade Agreement (FTA), eliminating tariffs on 99% of traded goods and opening doors to multi-billion-pound export opportunities for both nations.

TAS News Service

info@thearabianstories.com

Thursday, July 24, 2025

LONDON : Signed by Indian Prime Minister Narendra Modi and UK Prime Minister Sir Keir Starmer at the historic Chequers estate, the deal marks the culmination of three years of negotiations that began under former British PM Boris Johnson in 2022.

The agreement paves the way for cheaper exports of UK-made cars and whisky to India, while Indian textiles and jewellery will see reduced costs in the UK market. In total, the FTA covers nearly 100% of the trade value between the two countries.

Calling it a “historic day,” Prime Minister Starmer said the deal will create over 2,200 new jobs across the UK, with Indian firms expanding their presence and British companies gaining new opportunities in aerospace, technology, and advanced manufacturing sectors.

“Our landmark trade deal with India is a major win for Britain,” Starmer said, emphasizing its impact on engineers, technicians, and supply chain workers. He also addressed concerns about labour competition, saying there is “no tax advantage” for hiring Indian workers and that any temporary secondments would involve standard visa and NHS surcharge costs.

The deal also includes a joint plan to address illegal migration — a key political talking point — and builds on the UK-India Technology Security Initiative signed last year to strengthen cooperation on telecoms and emerging tech.

This marks Prime Minister Modi’s fourth visit to the UK since taking office in 2014 and reflects deepening ties between the two nations as they seek to expand their strategic and economic partnership in a changing global landscape.

For all the latest news from Oman and GCC, follow us on TwitterInstagram and LinkedIn, like us on Facebook and subscribe to our YouTube page, which is updated daily.

Close