As India and the United Kingdom inch closer to finalising their free trade agreement, Britain will now introduce only minor changes to its visa regime — which has been a sticking point in the negotiations for months.
The new rules will result in around 100 new visas for Indian workers each year, a UK official told POLITICO. UK's Home Office — which has been hesitant to grant major visa exemptions, largely because of concerns about how they could impact the UK's net migration numbers —will be implementing these changes, stated the magazine.
Referring to how many Indian workers are likely to benefit from the scheme, the official said it was “not possible to put a number”, calling any attempt to do so “purely political.”
The official, however noted that UK's visa policies will provide businesses much needed “certainty”, which have otherwise seen frequent changes in recent years.
India’s chief trade negotiator, Piyush Goyal, is set to visit London this week to press for more concessions, including exemptions from the UK’s planned carbon tax and a refund mechanism for Indian workers on short-term visas to reclaim pension contributions, according to POLITICO.
India’s high commissioner Vikram Doraiswami also told the magazine that India is seeking an arrangement to exempt Indian workers from contributing to Britain’s pension pot if they are already paying at home.
Speaking about the visa changes, a spokesperson for the UK's Department for Business and Trade said that the Keir Starmer led government was “committed to doing the right deal with India which will improve access for UK businesses, cut tariffs, and make trade cheaper and easier,” reported POLITICO.
“Interestingly, it’s [the U.K. Department for Business and Trade] rather than the Indian side sounding more positive about the deal being close,” POLITICO quoted another person, close to the deal as saying.
Piyush Goyal arrived in London on Monday, April 28 for two days of high-level discussions focused on fast-tracking the India-UK free trade agreement (FTA).
In his first visit, Goyal met with UK Business and Trade Secretary Jonathan Reynolds to advance the negotiations and reaffirm both countries' commitment to strengthening economic ties.
"The ongoing discussions are a step towards ensuring that both India and the UK can navigate the challenges posed by the current global trade climate. The Free Trade Agreement talks are vital for expanding our trade relations and creating new opportunities for businesses in both countries," said Goyal following the meeting in a social media post on X.
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