PM Modi likely to visit UK this month, free trade deal on agenda

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PM Modi is expected to visit the United Kingdom in July to sign the India-UK Free Trade Agreement, boosting economic ties, defence cooperation, and strategic partnership between the two nations.

 PTI)

Prime Minister Narendra Modi during a bilateral meeting with UK Prime Minister Keir Starmer on the sidelines of the G20 Summit in Rio de Janeiro. (Photo: PTI)

India Today World Desk

UPDATED: Jul 9, 2025 02:44 IST

Prime Minister Narendra Modi is expected to visit the United Kingdom by the end of July, marking a high-profile diplomatic engagement, news agency PTI reported citing sources.

The visit is likely to culminate in the formal signing of the long-anticipated India-UK Free Trade Agreement (FTA) and explore avenues to deepen bilateral cooperation in defence, technology, and regional security.

Both governments are currently finalising the dates for the visit, which would mark PM Modi's first trip to the UK since negotiations on the FTA were formally concluded earlier this year.

While initial expectations had suggested that British Prime Minister Keir Starmer would visit India first, it is now understood that his visit may follow later in the year.

The visit follows a series of recent high-level exchanges, including a meeting between Modi and Starmer on the sidelines of the G7 Summit in Alberta and Security Adviser Ajit Doval’s trip to London.

Officials have indicated that the UK leg of the trip may be combined with a visit to the Maldives, though final confirmations are still pending.

The India-UK Free Trade Agreement, finalised in May after three years of negotiations, is poised to significantly enhance economic ties between the two countries.

The deal is expected to eliminate tariffs on nearly 99 per cent of Indian exports, while also improving market access for British goods such as whisky and automobiles.

According to S&P Global Market Intelligence, the FTA is projected to provide a strong economic boost to India. With Indian remittances from the UK, currently the third-largest source after the US and UAE, already contributing to a USD 130 billion inflow in 2024 (or 3.3 per cent of India’s GDP), the agreement is likely to further stimulate remittance flows.

A key provision of the deal includes a national insurance waiver of up to three years for Indian ICT professionals working in the UK, potentially increasing their savings and remittances.

The FTA aims to double bilateral trade in goods and services by 2030, from the current USD 56.7 billion in 2024. Indian exporters, particularly in textiles and apparel, sectors facing challenges in the US market—are set to gain from improved access to UK consumers.

For Britain, the agreement opens up India’s rapidly expanding middle class, with notable opportunities in the beverage sector.

Alongside the FTA, the two sides have also concluded a double taxation convention and are expected to advance defence and security cooperation during Modi’s visit.

The visit is seen as a strategic milestone in strengthening the India-UK Comprehensive Strategic Partnership in the post-Brexit era.

- Ends

Published By:

Aashish Vashistha

Published On:

Jul 9, 2025

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