In a recent visit to India, UK Prime Minister Keir Starmer stated that the UK will not be relaxing its visa rules for Indian workers or students. The Prime Minister, leading a delegation of more than 100 business, academic, and cultural leaders, emphasized that his trip was focused on promoting the recently signed UK-India free trade agreement (FTA), which has no provisions for new visa routes.
The FTA, which was signed in July 2025 after three years of negotiations, aims to significantly boost trade between the two nations, with projections of a £25.5 billion annual increase by 2040. It will achieve this by reducing tariffs on key exports like UK whisky, cars, and medical devices, as well as on Indian textiles and seafood.
Key announcements beyond visas
Despite ruling out new visa routes, Starmer’s visit yielded several major announcements aimed at strengthening bilateral ties.
- Filmmaking: The Prime Minister announced that Yash Raj Films will produce three new Bollywood films in the UK starting in 2026, a move expected to create 3,000 jobs.
- Education: Starmer noted that UK universities are expanding their footprint in India by setting up new campuses, with several institutions receiving approval to open branch campuses.
The FTA does, however, include a measure that provides a three-year exemption from national insurance contributions for Indian employees on short-term visas in the UK.
What this means for skilled workers
For Indian professionals and students, Starmer’s clear stance means that new visa pathways to the UK are not on the immediate horizon. This firm position reflects domestic political pressures on the Labour government to reduce overall immigration.
While the UK is looking to attract “top talent” globally, the focus is on a merit-based system, rather than creating new, broad immigration routes for specific countries. This approach could make it more challenging for those without a clear skill set or a specific employer sponsorship to move to the UK.
What this means for employers
For UK employers, the Prime Minister’s statements reinforce the reality that securing talent from India will require navigating the current, tight immigration rules. Despite calls from British businesses for more flexible visa policies to address labor shortages, the government remains focused on its immigration reduction targets. This policy environment means that businesses must either find ways to work with the existing rules or look for alternative talent pools.
This is where a global hiring partner like Multiplier can provide a strategic advantage. By using an Employer of Record (EOR) platform, UK companies can seamlessly hire skilled professionals from India and other countries without the complexities of visa sponsorship or the costs of setting up a local entity. Our EOR solution handles all the administrative burdens, including payroll, benefits, and local compliance, allowing you to access top talent and scale your team without being constrained by immigration policies.
Conclusion
The UK-India trade deal marks a significant step in strengthening economic ties between the two nations, but it is not a pathway to more open immigration. Prime Minister Starmer has made it clear that the focus is on business and investment, with no new visa routes planned for Indian workers or students.
For companies and individuals, this confirms the need for a resilient and adaptive approach to global employment.
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FAQs
What is the UK-India trade deal?
The UK-India free trade agreement (FTA) is a trade deal signed in July 2025 to reduce tariffs on goods and services between the two countries. The agreement is expected to increase bilateral trade by £25.5 billion by 2040. While it does not include new visa routes, it does have a provision for a three-year social security exemption for Indian employees on short-term visas in the UK.
Is the UK changing its visa policies for Indian nationals?
No, UK Prime Minister Keir Starmer has stated that Britain will not be relaxing its visa rules for India. He confirmed that new visa routes for Indian workers or students were not a part of the trade deal and will not be introduced.
Why is the UK government taking a tough stance on immigration?
The UK government, under Prime Minister Starmer, is facing domestic pressure to cut immigration levels. The Prime Minister has previously proposed tougher rules for permanent residency and aims to attract "top talent" globally rather than open up broad visa routes for specific countries.
How will the free trade agreement (FTA) deal affect businesses?
The trade deal aims to make it easier for businesses to trade between the two countries by reducing tariffs and administrative barriers. For example, tariffs on UK whisky will fall from 150% to 75% when the deal comes into force, and eventually to 40% over ten years. The deal is expected to be a launchpad for growth and investment opportunities.
What is the status of the social security exemption for Indian workers in the UK?
Under the trade agreement, Indian employees and their employers will be exempt from paying national insurance contributions in the UK for up to three years on short-term transfers. This is part of a reciprocal agreement that will be implemented alongside the FTA.
