UK Secures 17 Trade Deals During Secretary’s India Visit
UK Announces 17 New Trade and Investment Deals During India Visit
London/New Delhi, February 2025 – The UK’s Trade Secretary Jonathan Reynolds and Investment Minister Poppy Gustafsson have unveiled 17 new export and investment deals during their visit to India this week, marking a significant step in strengthening economic ties between the two nations.
Boost for British Insurance & Technology Sectors in India
The UK government highlighted that India’s recent Union Budget has created new opportunities for British insurance companies by allowing 100% foreign direct investment (FDI) in the sector, up from the previous cap of 74%. This policy shift paves the way for greater expansion of British insurers in India’s rapidly growing market.
Additionally, UK technology firms are accelerating their growth in India, with several companies announcing expansion plans. The UK, which boasts the third-largest technology economy globally, sees India as a key destination for digital and innovation-driven collaboration.
Strengthening Economic Partnerships
Speaking about the new trade agreements, Business and Trade Secretary Jonathan Reynolds emphasized that technology and life sciences are two of the UK's fastest-growing sectors.
“I’m proud that government support has enabled some of our finest businesses in these sectors to expand into the exciting Indian market. Their success will bring tens of millions of pounds to the UK economy,” Reynolds stated.
The India-UK trade relationship continues to flourish, with over 950 Indian-owned companies already operating in the UK and more than 650 UK companies doing business in India. Together, these firms support over 600,000 jobs across both economies.
Indian Investment in the UK on the Rise
The UK government also highlighted recent Indian investments worth over £100 million across sectors such as AI, professional services, and textiles. These investments are expected to create hundreds of jobs in the UK over the next three years, reinforcing the strong investor confidence in the UK market.
Investment Minister Poppy Gustafsson welcomed these developments, stating:
“The new wave of Indian investment proves that our Plan for Change is working, giving Indian businesses the confidence to continue investing in Britain. Now, we aim to be more ambitious and collaborative than ever before, showcasing why the UK is the best place for investment.”
India remains the second-largest investor in the UK in terms of the number of projects, a position it has held for five consecutive years. At the end of 2023, the value of inward FDI stock from India had increased by 28%, underscoring the strong economic partnership between the two countries.
India-UK Free Trade Talks Resume
On Monday, Reynolds and India’s Commerce Minister Piyush Goyal announced the relaunch of negotiations for the India-UK Free Trade Agreement (FTA). The agreement aims to boost trade, support jobs, and drive economic growth in both nations.
Meanwhile, Minister Gustafsson is currently in Mumbai and Bengaluru, promoting free trade and investment opportunities to attract more Indian companies to expand their operations in the UK.
As India and the UK continue to deepen their economic collaboration, these new deals and policy shifts signal a stronger, more dynamic trade partnership in the years ahead.