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Starmer and Modi hail ‘historic day’ as UK-India trade deal signed

Eleni Courea Political correspondent
Last updated: July 25, 2025 8:30 pm
Eleni Courea Political correspondent
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The UK and India have signed a comprehensive free trade agreement that both Keir Starmer and Narendra Modi hailed as a “historic day” for their countries. The deal is projected to boost Britain’s economy by £4.8 billion a year and attract at least £6 billion in Indian investment, marking one of the new Labour government’s first major foreign‑policy achievements.

Under the agreement, tariffs will be reduced or eliminated across a range of sectors – from Scotch whisky and automobiles to technology and services – and both sides have pledged to work toward sustainable development and labour protections. Officials described the pact as a step‑change in UK–India relations after years of negotiations, though trade unions and environmental groups want robust safeguards to ensure that workers’ rights and green standards are upheld.

The pact underscores Starmer’s intention to re‑energise the UK economy through closer ties with major democracies and to demonstrate that post‑Brexit Britain can still strike ambitious trade deals. For more details, see the Guardian’s politics coverage and the BBC’s business section.

Source: Politics | The Guardian

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