The UK Government has announced a major boost to British industry following the signing of a historic trade agreement with India, securing over £6 billion in new investment and export deals and supporting more than 2,200 British jobs across the country.

The signing of the deal will take place during a meeting between Prime Minister Keir Starmer and Indian Prime Minister Narendra Modi marking a major step forward in bilateral cooperation and is forecast to boost the UK’s GDP by £4.8 billion each year, according to newly released analysis. The benefits are expected to reach every region and nation of the UK, with working communities seeing tangible economic impact from the deal.

As part of the agreement, British workers are projected to gain a collective £2.2 billion wage uplift annually, with potential savings for wide range of everyday goods, including clothing, footwear, and food products.

The UK already imports more than £11 billion in goods from India and cutting tariffs will make it easier and more cost-effective to bring in vital components and materials, particularly for advanced manufacturing and high-end consumer products. For British businesses, this means better access to quality imports and lower production costs.

The agreement supports the current administration’s Plan for Change’s strategy to grow the economy, raise living standards, and put more money into people’s pockets. The billions generated from this trade deal are positioned to be felt across all parts of the UK economy.

Sachin Agrawal, Managing Director for Zoho UK commented: “The UK-India deal is a major milestone not just for trade, but for global technology collaboration. It creates a foundation for joint innovation in AI, data science, and advanced technologies.

With Indian firms opening R&D hubs across the UK and UK companies gaining better access to India’s dynamic tech sector, we’ll see stronger collaboration in many areas including AI, health/bio tech and quantum across an array of industry sectors.

As with the introduction of any new technology, we encourage businesses to commit to ethical standards, robust security, safe AI development, and responsible data practices. This kind of knowledge sharing and cross-border innovation is essential if we want to lead on global challenges and ensure tech progress benefits people, businesses, and society as a whole.”

The Prime Ministers have also signed a renewed Comprehensive and Strategic Partnership, cementing future collaboration across defence, education, climate, technology, and innovation. The agreement builds on the UK–India Technology Security Initiative signed one year ago, which has already unlocked joint activity in telecoms security, critical minerals, AI, quantum, biotech, advanced materials, and semiconductors.