The UK and India have secured £400 million in new trade and investment agreements, indicating big steps forward for international economic relationships and boosting the British economy
The announcement follows the 13th UK-India Economic and Financial Dialogue (EFD), held in London on 9 April, where key political and business leaders from both countries joined to deepen cooperation and drive growth.
Focuses on finance services, tech and education
Led by UK Chancellor Rachel Reeves and Indian Finance Minister Nirmala Sitharaman, the EFD focused on strengthening the relationship across various sectors, including financial services, education, technology, defence and sustainable development.
This meeting backed ongoing efforts to secure a Free Trade Agreement (FTA) and a Bilateral Investment Treaty between the two nations.
As part of the £400 million commercial package, £128 million comes from newly announced export deals and investments, while the remaining £271 million stems from recently confirmed agreements. The deals are expected to deliver economic security and jobs, helping to strengthen the UK’s position as an attractive destination for global investment.
Indian firms expand footprint in the UK
Some of the main takeaways include Indian digital payment giant Paytm’s plans to invest in the UK to support small businesses through digital finance, and Barclays Bank PLC India’s capital injection of over £210 million to expand its operations in India.
HSBC is expected to significantly increase its footprint across India, expanding from 14 cities to 34 and covering almost the entire wealth market. Standard Chartered also enhances its presence in India’s financial hub GIFT City.
A few technology-driven investments also feature a lot. Indian tech company Mphasis will establish a quantum centre of excellence in London and explore a new office in Nottingham, supporting up to 100 jobs.
Opportunities in India for British companies
UK fintech firms Revolut and Wise are expanding into India, signalling growing confidence in the Indian market.
British International Investment (BII) is playing an important by committing $10 million to a carbon credit programme in India and an extra $15 million to early-stage, inclusion-focused startups. This lines up with other efforts to promote green enterprises and tech innovation, building on the success of the UK-India Green Growth Equity Fund.
The education sector has also seen some developments. Coventry University will become the first English university licensed to open a campus in India, located in GIFT City. The London School of Economics has expanded its long-term partnership with Tata Trusts, providing scholarship support for Indian students.
The Dialogue also reinforced joint commitments to tackling global financial challenges. The two nations agreed to improve cooperation on macroeconomic stability, tax policy, green finance, and illicit finance. They promised to continue working closely as co-chairs of the G20’s Framework Working Group.
A business roundtable, co-hosted by the UK’s Secretary of State for Business and Trade Jonathan Reynolds and Minister Sitharaman, brought together leaders from major firms including HSBC, Aviva, Vodafone, WNS, and Tide. Discussions focused on further enhancing bilateral trade and investment, with special attention given to the defence sector as both countries move toward finalising a new industrial roadmap.
With more than £40 billion in annual trade between the UK and India, this most current round of agreements shows new momentum. Both nations are now working to turn this progress into a comprehensive free trade deal, hoping to unlock even more opportunities for businesses and workers in the months ahead.
