UK Prime Minister Rishi Sunak reaffirmed UK’s commitment to a free trade agreement with India, stating that it would be a “win-win” for both nations. This move comes as part of a broader effort to deepen the Comprehensive Strategic Partnership between the UK and India, which Rishi Sunak announced earlier this year.
The UK-India Young Professionals Scheme
The UK-India Young Professionals Scheme was confirmed in late November 2022 and is just one example of the potential benefits of such an agreement. This scheme aims to strengthen ties between the two countries by providing young professionals with the opportunity to work and learn in each other’s countries. For up to two years, it offers 3,000 seats for degree-educated Indians between 18 and 30 to live and work in the UK.
But the potential impact of a free trade agreement between the UK and India goes far beyond just the exchange of young professionals. India is the world’s most important source of undiscovered and undervalued talent. A free trade agreement with the UK could provide Indian businesses with much-needed access to the UK market. It could lead to increased investment and job creation in India, helping to drive the Indian economy.
At the same time, the UK would also stand to benefit from such an agreement. India is a rapidly growing market with a middle class population. Access to this market could significantly boost UK businesses, particularly in the technology, healthcare, and education sectors.
India accounts for about 25% of all international students in the UK, and Indian investment in the country has produced or supported 95,000 jobs. In addition, statistics from the UK Home Office show that in the year ending June 2022, over 1,18,000 Indian students were granted student visas for the nation. It is an increase from the prior year of approximately 90%.
Free Trade Agreement
Overall, a free trade agreement between the UK and India would be a win-win situation for both countries. It would provide opportunities for businesses and professionals in both nations and could increase investment and job creation.
It would also strengthen the Comprehensive Strategic Partnership between the UK and India with significant political and strategic implications. It is encouraging to see Prime Minister Rishi Sunak’s dedication to such a deal, and the plan is that talks will progress smoothly in the months and years to come.
The bilateral trade between the UK and India presently amounts to about GBP 24.3 billion annually. However, according to official UK government figures, the goal is to at least double that by 2030. Rishi Sunak is taking an investor approach to strengthening the India-UK relationship.
According to Rishi Sunak, in contrast to Europe and North America combined, the Indo-Pacific region will account for more than half of global growth by 2050. As a result, we are signing a new Free Trade Agreement with India, pursuing one with Indonesia, and joining the CPTPP, a Trans-Pacific Partnership trade agreement.
Rishi Sunak’s dedication to this agreement demonstrates United Kingdom’s determination to maintain a positive and fruitful relationship with India. It would expand economic prospects and improve the link between the two countries.
Is there an alliance between India and the United Kingdom?
Strong historical and cultural ties exist between India and the UK. With its upgrade to a Strategic Partnership in 2004, India’s multifaceted bilateral engagement with the UK became more intense.
Does the UK value India?
As evidenced by the signing of the Defence and International Security Partnership between India and the UK in 2015, India is a crucial strategic partner for the UK in the Indo-Pacific regarding market share and defense.
How has Rishi Sunak’s approach to the India-UK relationship been received in India?
Rishi Sunak’s approach to the India-UK relationship has generally been well-received in India. Indian officials have welcomed his efforts to strengthen ties between the two countries and have praised his commitment to deepening cooperation in areas such as trade, investment, and technology. Sunak’s visits to India have also been seen as an opportunity to reaffirm the strong and longstanding relationship between the two countries and explore new cooperation areas.
How does Rishi Sunak, the UK Chancellor of the Exchequer, view the India-UK relationship?
As the UK Chancellor of the Exchequer, Rishi Sunak is responsible for managing the UK’s economic and financial policies, including its relations with other countries. Sunak has stated that he views the India-UK relationship as a “key partnership” and has emphasized the importance of deepening ties between the two countries in trade, investment, and technology. He has also highlighted the potential for further cooperation in defense and security and has expressed a desire to further strengthen the UK’s relationship with India.