NEW DELHI: India and the United Kingdom on Thursday cemented a new phase in their evolving bilateral relationship, unveiling a wide-ranging set of agreements across trade, defence, education, and technology.
Prime Ministers Narendra Modi and Keir Starmer expressed a strong commitment to build on the momentum of the Comprehensive Economic and Trade Agreement (CETA) signed in July and highlighted a deepening strategic alignment between the two nations amid shifting global power dynamics.
Modi emphasised that the growing partnership now stands as an important pillar of global stability.
“India and the UK are natural partners. Our relationship is built on the shared values of democracy, freedom, and the rule of law. In today's time of global uncertainty, our growing partnership stands as an important pillar of global stability and economic progress,” Modi said after the meeting with his British counterpart.
In wide-ranging talks held in Mumbai, both leaders hailed the potential of CETA to double bilateral trade by 2030 through tariff cuts, greater market access, and enhanced investment.
Accompanied by the UK’s largest-ever business and academic delegation to India, Starmer described India as a “global player” with a “remarkable growth story.”
A key outcome of the visit was the announcement of a GBP 350 million defence deal under which the UK will supply Lightweight Multirole Missiles (LMMs) to the Indian Army.
The missiles, manufactured by Thales in Northern Ireland, will not only boost India’s defence capabilities but also support 700 jobs in the UK.
The two sides also agreed to move forward with a government-to-government framework for future defence deals and signed a military training cooperation agreement, including an exchange of flying instructors between the Indian Air Force and the UK’s Royal Air Force.
The leaders also committed to expanding maritime cooperation in the Indo-Pacific, amid rising tensions and global power shifts in the region.
Modi said India is fully committed to enhancing security partnerships in the Indo-Pacific, while Starmer stressed the importance of upholding a rules-based international order.
Starmer backed India’s long-standing bid for a permanent seat on the United Nations Security Council, calling it “long overdue.” “We want to see India taking its rightful place on the UN Security Council,” he said. The endorsement aligns the UK with other major powers, including the US and Germany, that have supported reforms to the current UNSC structure.
The visit also delivered major developments in the education sector, with the UK announcing approvals for new university campuses in India.
“Our deal with India means more investment in the UK and thousands of new jobs across the country,” Starmer said, underlining the commercial optimism driving the bilateral relationship.
Modi echoed that sentiment, saying the CETA would “create new job opportunities for youth, expand trade and benefit both our industries as well as consumers.”
He highlighted India’s favourable business climate, citing policy stability, predictable regulations, and strong domestic demand as key advantages. “India offers unprecedented opportunities across sectors—from infrastructure and pharmaceuticals to energy and finance,” he said.
Welcoming the entry of nine UK universities, Modi said that “the future of innovation will be driven by deeper collaboration between academia and industry.”
He added that emerging technologies are opening up new frontiers for joint ventures. “We see immense potential for partnerships in telecom, artificial intelligence, biotechnology, quantum computing, semiconductors, cyber, and space. In defence, we are moving towards co-design and co-production models. This is the moment to accelerate and convert these opportunities into tangible outcomes.”
Ahead of the leaders' meeting, Commerce and Industry Minister Piyush Goyal and UK Business and Trade Secretary Peter Kyle finalised the institutional framework for the deal’s delivery, repositioning the Joint Economic and Trade Committee (JETCO) as the central body to oversee implementation and resolve regulatory and market access issues.
Education emerged as a high-growth area, with Modi announcing that nine British universities will open campuses in India. Starmer confirmed that the University of Lancaster and University of Surrey have received approval to set up campuses to meet India’s soaring demand for global-standard higher education International education has been a major source of export revenue for the UK as it brought over £32 billion of export revenue to the UK in 2022, with nearly £1 billion of that coming from international campuses, highlighting the strategic value of India’s expanding student market.
Lancaster University will open in Bengaluru and the University of Surrey in Gujarat’s GIFT City, joining a growing list of UK institutions expanding their footprint in India.
With nine campuses now confirmed or operational, the UK is poised to become the country with the largest foreign higher education presence in India. Downing Street estimated the move would inject GBP 50 million into the British economy.
On the innovation front, both countries launched new joint centres focused on artificial intelligence, critical minerals, and connectivity. These initiatives aim to secure resilient tech and supply chain ecosystems, underscoring the growing importance of emerging technologies in the bilateral agenda.
Modi said the relationship is “driven by talent and technology” and called it a reaffirmation of shared democratic values. Starmer, echoing the sentiment, said the India-UK relationship is “special” and future-facing. “We are creating a new modern partnership,” he added.
