UK FTA: Minor win for India on mobility

Changes in the free trade agreement will help professionals have better access to either countries, say experts
Job opportunities in UK
India-UK FTAReuters
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The recently concluded India-UK trade deal may not involve any changes to immigration policy, but it eases mobility for professionals across many sectors. The FTA envisages easing mobility for professionals including contractual service suppliers, business visitors, investors, intra-corporate transferees, and partners and dependent children of intra-corporate transferees with right to work. The UK would also give up to 1,800 visas for independent professionals like Indian chefs, musicians and yoga instructors every year.

Historically, immigration has been the most sensitive fault line in UK-India trade talks. This agreement, as per experts, avoids sweeping reforms but establishes a template for future co-operation, striking a balance between economic logic and political reality. Experts say this is a partial win for India, especially for its services sector, which has long asked for improved labour mobility. The immediate impact would be on multinationals and service providers.

This isn’t just about visas—it’s about enabling global business through thoughtful diplomacy. “I view the UK-India FTA more than just a market access deal — it’s a strategic recalibration of mobility rules that reflects both ambition and restraint,” says Krishan Arora, partner, Grant Thornton. Arora offers consulting services to inbound investing companies.

He outlines three key changes in the FTA that will help professionals from the two countries to work in either countries. These are exemption from UK National Insurance Contributions for intra-company transferees for three years; expansion of roles under the Global Business Mobility Visa (from 15 to 33 sectors), and 1,800 annual visas for niche professionals like chefs and yoga instructors. “These provisions are modest but highly targeted, addressing business needs without breaching the UK’s political red lines on immigration,” says Arora.

The three-year exemption from social security, as per commerce ministry sources, could save Indian professionals in the UK 20% of their salaries, benefiting over 60,000 employees in IT sector alone.

“The overall savings for Indian companies and employees from this exemption could exceed `4,000 crore,” a ministry official estimated.

As per a statement by the UK government, the two countries have agreed on a professional services annex, where the UK and India will identify and encourage mutually interested ‘relevant’ bodies to enter negotiations on mutual agreements for recognition of professional qualifications. “These agreements can streamline processes for UK professionals seeking to have their professional qualifications recognised in India and vice versa, by reducing administration, time, and costs, and by providing certainty to businesses seeking to operate abroad,” says the statement by the UK government.

India says the agreement on mobility would open up opportunities for skilled Indian youth in the UK, which is a major global centre for digitally delivered services due to its strong financial and professional services sectors and advanced digital infrastructure.

As per the Indian government, India has secured major commitments on digitally delivered services for Indian service suppliers, specially, in professional services such as architecture and engineering, computer related services and telecommunication services.

The legal text of the FTA will be out only in three months, that is when the finer details of the ‘gains’ India made on the professional mobility front would be clear.

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