News

India trade deal welcome but need to make progress with Europe remains

Campaigners have welcomed the signing of a new trade deal between India and the UK and called on the government to reduce trade barriers between Britain and its largest market - the EU.

 

The deal, which will be signed tomorrow during Narendra Modi's visit to the UK, is expected to see tariffs on an array of British goods reduced from an average of 15% to 3%.

Duties on British whisky, cars and cosmetics will be slashed with the government claiming that the agreement will support 2,200 jobs across the country and see £6 billion investment by British and Indian businesses.

Importantly, it appears the deal will not include agreement on the taxation of on high-carbon industries, which could impact ongoing negotiations between the EU and UK

While welcoming the agreement, campaigners have called on the government make more progress in reducing trade friction with the EU. 

Naomi Smith, chief executive of Best for Britain, said:

“Boris Johnson repeatedly promised he’d get this deal over the line by Diwali and so for Starmer to sew it up after one year in office is a significant achievement that both industry leaders and British workers are right to welcome.

“While this deal offers significant opportunities they are dwarfed by the continued cost of trade barriers with our largest market, highlighting the urgency of making progress on the areas agreed in May’s UK-EU summit, which voters have made clear is their priority.”

More
Related
What is in the UK-India trade deal? Increasing EU trade remains the gamechanger as government publishes trade strategy MRP Analysis: Prioritising the UK's trading relationships Trump is 'permanent risk' to UK trade, former ambassador warns
Latest
We went undercover on Far-Right TikTok. Here’s what we found. The price of democracy? New database tracks Tory defections to Reform UK Horizons broadened for young Brits as UK to rejoin Erasmus