Keir Starmer has met Indian Prime Minister Narendra Modi in Mumbai as the pair attempt to emerge from “the shadow of tariff turmoil” brought forth by the US.
On a trip meant to promote business opportunities between the UK and India – two of the world’s largest economies – Starmer said he is hoping to implement the previously signed trade deal as soon as “humanly possible”.
In July, Starmer and Modi signed a trade agreement in the UK, “sealing a deal to cut tariffs on goods from textiles to whisky and cars, and allow more market access for businesses”, said Reuters. But projections, which predict an increase in trade of more than £25 billion by 2040, are ultimately “a floor, not a ceiling, to the ambition of the deal”. This week’s visit provides opportunities to further that partnership, said Starmer.
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“This trip has a big first,” said Sky News. Taking more business leaders along than on any previous such visit, the UK government’s “enthusiasm to take advantage of the signed, though not completed, free trade deal is clear”. Business leaders said that they’ve joined the tour to boost business in India, and also to “raise their profile with the prime minister”.
Overseas markets like India are more important to domestic businesses than ever. But the bosses’ enthusiasm might also be “a response to the nervousness about a £20 billion – £30 billion black hole Chancellor Rachel Reeves will have to fill” in the upcoming Budget.
Even so, “the visit had some awkward undertones”, said Bloomberg. Just before Starmer arrived in India, Modi wished Russian President Vladimir Putin a happy birthday. Starmer, who has been vocal in pressuring Putin to end his invasion of Ukraine, “deflected a question while on the plane to India” about the exchange. “Just for the record, I haven’t sent birthday congratulations to Putin, nor am I going to do so. I don’t suppose that comes as a surprise.”
And despite blossoming trade relations with India, “tensions over migration are expected to linger”. Indian and British businesses had reportedly pushed for more visas for highly skilled workers moving from India to the UK when the two countries were formalising their trade deal over the summer. But Starmer said that “the visa situation hasn’t changed with the free trade agreement”, adding that the visit was more about “business-to-business engagement and investment and jobs and prosperity coming into the United Kingdom”.
What next?
Starmer’s visit to India has already coincided with some developments that promise continued cooperation between the two countries.
British Airways has “announced a third daily flight” between Heathrow and New Delhi starting next year, and it plans to look into further opportunities in India as trade “expands”, said The Hindu. The new flight, which also includes the announcement of a New Delhi-Manchester route operated by India’s IndiGo, is expected to generate tens of millions of pounds in exports and tourism income, as well as 450 new jobs.
Starmer “also used the visit to announce that three Bollywood films will be made in the UK” by major film studio Yash Raj Films starting in 2026, said the BBC. Bringing Bollywood back to the UK after an “eight-year hiatus”, the move is expected to bring thousands of jobs and “pour millions into the economy”.
Plus, the prime minister – having praised India’s digital ID system as a “massive success” – is to look into how the UK can take inspiration for its own implementation of widespread digital IDs, said The Guardian. “Starmer defended the introduction of a similar measure in the UK, saying he believed the rollout of a voluntary system could be expanded to school applications, mortgages and driving licences.”
