UK and India strike ‘landmark’ trade accord amid strategic realignment

Mace | 6th May 2025 | Uncategorised
Handshake,Between,India,And,United,Kingdom,Flags,Painted,On,Hands,

The UK and India have signed a landmark free trade agreement, reducing tariffs on goods like whisky, cars, and textiles, while expanding market access for services. The deal strengthens post-Brexit UK trade strategy and enhances India's global economic position, boosting bilateral trade by £25 billion by 2040.

UK–India Trade Deal Secures Tariff Gains, But Enforcement Gaps Persist The United Kingdom has signed a trade agreement with India, touted by Downing Street as the most significant bilateral deal since Brexit. The agreement, concluded on 6 May, comes after three years of on-off negotiations and forms part of the government’s broader effort to diversify trade relations away from the European Union. The agreement offers reduced tariffs on a limited range of British exports. Duties on Scotch whisky and gin, currently at 150 per cent, will fall to 40 per cent over ten years. UK carmakers will see a new quota-based regime that lowers automotive tariffs to 10 per cent. Agricultural goods including lamb, salmon and chocolate will also benefit from phased reductions. India gains full tariff elimination on textiles and garments, a politically sensitive sector in several British regions. The UK has also agreed to drop national insurance requirements for certain Indian service workers on assignmen...

Subscribe to The Mace

Join the member community shaping British politics and stay ahead of what's really happening in the world of politics and public affairs, with expert analysis, breaking news, and insider insights from Westminster and Brussels. The Mace is the leading news source and resource for the government affairs industry, offering required reading and lobby intelligence for professionals.

To see what you are missing out on by not subscribing to The Mace, click here to download our full membership info-pack. This includes having no paywall on op-ed content or profiles/interviews, allowing professional profiles to be read with maximum impact and visibility by government, special advisers, MPs, peers, civil servants, and policy and political decision-makers.



UK–EU Defence Fund Talks Collapse Over Entry Fee Standoff

Mace | November 30, 2025

Talks between London and Brussels collapsed after the EU demanded a high entry fee for SAFE, leaving the UK limited to third-country participation.

Government to Ban Asylum Seekers from Taxi Services

Thomas Edwards | November 30, 2025

The government plans to end most taxi travel for asylum seekers attending medical appointments, replacing it with public transport and tightening Home Office oversight.

Yermak’s Resignation Sends Shockwaves Through Kyiv and Europe

Mace | November 29, 2025

The resignation of Andriy Yermak after anti-corruption raids disrupts Ukraine’s leadership and triggers uncertainty across Europe during a critical phase of the war.

Autumn Budget 2025: family finances squeezed, welfare rules eased

Mace | November 29, 2025

After weeks of tax rumour and expectation-setting, the 26 November Budget landed as a welfare-first package that lifts the benefits cap but tightens the screw on household incomes,

EU parliament shifts corporate rulebook in favour of business interests

Mace | November 14, 2025

The European Parliament on 13 November 2025 approved amendments that sharply reduce the scope of the Corporate Sustainability Due Diligence Directive and the associated reporting regime

FTSE 100 surges to record high amid US government shutdown breakthrough

Mace | November 10, 2025

The FTSE 100 hit a record 9,787 points as investors cheered progress in Washington towards ending the US government shutdown. Strong gains in Diageo, miners and financial stocks

Lecornu scrambles to build government as France faces budget showdown

Mace | October 12, 2025

Reappointed French Prime Minister Sébastien Lecornu unveiled his second cabinet and must deliver the 2026 budget within days. With opposition parties preparing a no-confidence motion and markets showing

Rebuilding Ukraine’s future with music and memory

Sophia Ibrahim | October 9, 2025

As Ukraine rebuilds from war, music is emerging as a vital force for healing, unity and national renewal.

From the Floor: Beverley Nielsen’s Labour Conference Diary

Beverley Nielsen | October 2, 2025

Optimism, strategy and late-night gossip: Beverley Nielsen shares her experience of Labour’s four-day conference in Liverpool.

UK eyes higher NHS drug prices amid U.S. pharma pressure

Mace | September 27, 2025

The UK government is reportedly prepared to allow higher NHS medicine prices to defuse U.S. threats of 100 percent tariffs on branded drugs. The shift comes as pharmaceutical firms