{"id":50850,"date":"2025-08-04T09:40:54","date_gmt":"2025-08-04T09:40:54","guid":{"rendered":"https:\/\/my.legal500.com\/developments\/?post_type=legal_developments&p=50850"},"modified":"2025-10-02T08:40:19","modified_gmt":"2025-10-02T08:40:19","slug":"the-uk-india-trade-deal-and-how-it-will-affect-the-ability-of-indians-to-live-and-work-in-the-uk","status":"publish","type":"legal_developments","link":"https:\/\/my.legal500.com\/developments\/thought-leadership\/the-uk-india-trade-deal-and-how-it-will-affect-the-ability-of-indians-to-live-and-work-in-the-uk\/","title":{"rendered":"The UK India Trade Deal and how it will affect the ability of Indians to live and work in the UK."},"content":{"rendered":"
    \n
  1. What is the UK India Trade Deal?<\/u><\/li>\n<\/ol>\n

    The United Kingdom and the Republic of India concluded talks on a free trade agreement (FTA). The agreement was reached on 6 May 2025 between the Prime Minister and Prime Minister Modi, and is expected to increase the UK GDP gross domestic product by \u00a34.8 billion and UK wages by \u00a32.2 billion each and every year in the long run.\u00a0 As a result of the deal, businesses will now be able to trade with India with \u201cconfidence and security\u201d, the Prime Minister stated, as the mission of the government is to secure \u201csustained economic growth\u201d and that the UK \u201cwill benefit from open export markets and access to competitive imports that support production at home.\u201d\u00a0 India represents one of the most dynamic and exciting economies in the world and has the highest growth rate in the G20.\u00a0 However there has been significant challenges for UK business seeking access to this growing market and despite challenging conditions, the UK business have high ambitions for the future of trade with India.<\/p>\n

     <\/p>\n

    From an Indian perspective, the government of India announced that the major trade deal signed with the UK will provide \u201cgreater global mobility for aspirational young Indians\u201d and expand opportunities in Britain.\u00a0 Addressing the House of Commons, the Minister of State and Department for Business in Trade said in a statement that the deal ensures the UK point based immigration systems remain unaffected.\u00a0 He later emphasised that the agreement covers temporary business mobility, not immigration and it is aligned with the existing UK properties.\u00a0 A key feature of the Free Trade Agreement is a provision exempting Indian workers temporarily posted in the UK from paying UK social security contributions for up to three years! The press release around this stated that the FTA eases mobility for professionals including contractual service suppliers, business visitors, investors, intercorporate transferees, partners and dependent children of intercorporate transferees who try to work and independent professionals like yoga instructors, musicians and chefs.\u00a0 The opposition pointed out that the agreement will come at a significant cost to the British taxpayer.\u00a0 It may be that it will be 20% cheaper for companies in the UK to hire Indian workers over British workers.\u00a0 Harriet Baldwin said in the House of Commons that she was shocked and asked \u201cwill the convention really mean that an Indian owned restaurant chain in the UK could pay no National Insurance for its chef while a British pub next door pays full National Insurance for its chef?\u201d<\/p>\n

     <\/p>\n

      \n
    1. What is the advice to employers recruiting from India?<\/u><\/li>\n<\/ol>\n

      The new trade deal will streamline access to skilled workers and global talent route.\u00a0 The FTA creates a framework to simplify the application process for Indian professionals in key sectors and although eligibility is still governed by the skilled worker visa requirements and the global talent route, the agreement commits to reducing procedural barriers particularly for recognised roles and qualifications such as tech, health and cultural services.<\/p>\n

       <\/p>\n

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      1. How will new business mobility provisions be improved?<\/u><\/li>\n<\/ol>\n

        Indian nationals can benefit from up to 12 months of temporary entry and an easier movement under the global business mobility<\/a> service supplier and secondment workers\u2019 route<\/a>.\u00a0 It will also improve processing and documentation guidance.\u00a0 This is not a route to settlement and is designated for short-term contractual or intercompany work.<\/p>\n

         <\/p>\n

          \n
        1. What would be the effect on intercompany transfers<\/u>?<\/li>\n<\/ol>\n

          The FTA facilitates smoother movement of skilled staff from Indian companies to the UK branches through the global business mobility senior specialist worker route. <\/a>\u00a0The key improvement will include reduced documentary burden, consistent eligibility standards and National insurance exemption.<\/p>\n

           <\/p>\n

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          1. How will it benefit recognition of professional qualifications?<\/u><\/li>\n<\/ol>\n

            A framework is being introduced to mutually recognise qualifications in fields such as accountancy law, architecture, engineering and details will depend on professional body agreement, but the process will support easier visa access via recognised status under the skilled worker or the global talent route<\/a>.<\/p>\n

             <\/p>\n

              \n
            1. What will be the effect on the youth mobility route?<\/u><\/li>\n<\/ol>\n

              Indian nationals continue to benefit from India Young Professionals Scheme allowing for two years\u2019 work and travel stay in the UK and has 3,000 spots annually.\u00a0 The key limitations are that none of those create settlement rights and all applications must comply with Immigration Rules.<\/p>\n

               <\/p>\n

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              1. Where can I find the relevant guidance?<\/u><\/li>\n<\/ol>\n

                More specific Home Office guidance that is dedicated to the India\/UK Free Trade Agreement and its immigration measures can\u2019t be found because the deal is not yet in force. The Home Office will issue guidance once the final text of the FTA is legally verified and published, the UK Parliament complete its scrutiny and approve it, and the implementation legislation (the Home Office rules) are drafted.\u00a0 The likely publication will be May 2026, based on current timelines.<\/p>\n","protected":false},"featured_media":0,"template":"","class_list":["post-50850","legal_developments","type-legal_developments","status-publish","hentry"],"acf":[],"_links":{"self":[{"href":"https:\/\/my.legal500.com\/developments\/wp-json\/wp\/v2\/legal_developments\/50850","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/my.legal500.com\/developments\/wp-json\/wp\/v2\/legal_developments"}],"about":[{"href":"https:\/\/my.legal500.com\/developments\/wp-json\/wp\/v2\/types\/legal_developments"}],"wp:attachment":[{"href":"https:\/\/my.legal500.com\/developments\/wp-json\/wp\/v2\/media?parent=50850"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}