India-UK trade deal: Let us stay focused on the long-term prize

The momentum in mutual ties is backed by business enthusiasm. It's time to unlock the potential

- RICHARD HEALD

Trade agreements are never straightforward. But once agreed, the benefits between the two countries involved are hugely significant. At a time when the need for them is probably the greatest, the positive optics of an India-UK trade agreement cannot be underestimated.

The recently announced deal is expected to increase bilateral trade by £25.5, the UK's gross domestic product (GDP) by £4.8 billion and wages by £2.2 billion each year in the long run.

The UK-India economic corridor has always been one of huge potential and promise. India is the world's fastest-growing major economy, home to a dynamic, tech-savvy population and an expanding middle class. The UK, meanwhile, is a global services powerhouse, with world-leading capabilities in finance, education, sustainability, healthcare and innovation.

An agreement that meaningfully reduces barriers, builds on complementary strengths and leverages the 'living bridge' of the 1.5 million Indian diaspora in the UK will unleash a new era of growth, job creation and innovation on both sides.

India is one of the largest contributors of foreign direct investment in the UK, second only to the US, in terms of the size of companies and number of projects. Global companies like Tata, Mahindra, Essar, Piramal, Biocon, Wockhart, Serum Institute, Bharti Enterprises, State Bank of India and many more are embedded in the UK's economic and strategic landscape.

At the same time, there is so much more the two countries can achieve together.