UK celebrates millions in Indian investments after FTA talks relaunch

London, Feb 26 (PTI) The UK on Wednesday celebrated recent investment wins worth over GBP 100 million from Indian companies and pointed to India’s insurance sector as a growth opportunity for British companies following the relaunch of the Free Trade Agreement (FTA) negotiations this week.

As Business and Trade Secretary Jonathan Reynolds concluded his two-day visit to New Delhi after talks with his Indian counterpart, Union Commerce and Industry Minister Piyush Goyal, the UK Department for Business and Trade (DBT) said recent Indian investments are expected to create hundreds of new jobs over the next three years.

These investments are said to cover a range of sectors including artificial intelligence (AI), professional services and textiles, with UK insurance companies “gaining more potential to expand thanks to the Indian Budget earlier this month”, which had increased the amount of foreign direct investment (FDI) permitted in the sector from 74 per cent to 100 per cent.

“These investment deals will deliver more than GBP 100 million for the UK economy, creating jobs, strengthening growth, and helping working people,” said Reynolds.

“Now the UK will strive to be more ambitious and collaborative than ever before as we show the world why the UK is the best place to invest,” he said.

The minister went on to highlight companies in the UK’s tech and life sciences sectors as leading the way with their expansion plans for the Indian market.

“I’m proud that government support has helped some of our finest businesses in these sectors to expand into the exciting Indian market. It’s great to see them going for growth, and their successes will amount to tens of millions of pounds for the UK economy, which will see living standards improve, and put money in people’s pockets,” added Reynolds.

Among the recent Indian investments flagged by DBT are Aaseya Technologies, a professional services company specialising in digital transformation through automation, with GBP 25 million investment and Sastra Robotics’ GBP 8 million in Manchester to expand the company’s robotics innovation and development.

It also includes University Living, a global student housing managed marketplace, investing GBP 10 million to open a UK office, and Test Yantra, a testing and training services company, investing GBP 10 million.

On the other side of the two-way investment flows, UK businesses that have expanded their exports include Shipley-based Radio Design setting up a manufacturing facility in India; London-based Marcus Evans Group establishing a Mumbai base; Leicester-based chemicals company Microfresh rolling out smart antimicrobial technology across multiple Indian textile and leather players; and London-headquartered Novocuris operating in multiple Indian hospitals.

Meanwhile, UK Investment Minister Poppy Gustafsson travelled to Bengaluru this week as part of her two-city tour that also covered Mumbai to “bang the drum for Britain, champion free trade and promote exciting investment opportunities in the UK economy.” According to official statistics, while UK businesses exported a total of GBP 17 billion goods and services to India in the 12 months to September 2024, Indian FDI stock from India increased 28 per cent at the end of 2023 – with India the second-largest investor in terms of number of projects into the UK for five consecutive years.

DBT added: “A trade deal which brings down barriers could make selling to this huge market easier and cheaper for businesses, delivering on the government’s 'Plan for Change.' “Already an economic heavyweight, India is expected to become the fourth largest importer by 2035, presenting new opportunities for UK businesses.” PTI AK NPK NPK

Source: PTI