Business and Trade Secretary Kemi Badenoch has hit out at the landmark UK-India trade deal, calling it unfair to British workers. The agreement, set to add an estimated ÂŁ4.8bn to the UK economy by 2040, exempts some Indian workers from paying national insurance while on secondment to the UK.
đź’· Why Some Tories Aren’t Happy
Critics argue this creates a “two-tier tax” system. Immigration minister Robert Jenrick took to X to voice his frustration, saying, “British workers come last in Starmer’s Britain.”
🛍️ What’s in the Deal?
The deal slashes tariffs on a wide range of goods and opens up service contracts in both countries.
What India Gets:
- Reduced taxes on UK exports like scotch whisky, gin, soft drinks, and premium cars.
- Lower tariffs on British food products, including lamb, salmon, chocolate, and biscuits.
- Access to UK medical devices, aerospace, and electrical machinery.
What the UK Gets:
- Lower tariffs on Indian goods like clothing, footwear, frozen prawns, jewellery, and cars.
🎉 Some Tories Are Celebrating
Not everyone in the party shares Badenoch’s concerns. Former Brexit minister Steve Baker called the deal “great news,” dismissing the tax issue as a “red herring.”
Jacob Rees-Mogg, the former business secretary, echoed this view, celebrating “cheaper food and drink including rice, tea, footwear, and clothing.”
Daniel Hannan, a pro-Brexit peer, praised the deal as a “significant achievement,” adding that the UK has pulled off something no other country has managed at this scale.
Pro-Brexit trade economist Shanker Singham also chimed in, calling the agreement a “significant achievement” and urging the government to secure a similar deal with the US.
Related: UK hit harder by US tariffs than EU – thanks, Brexit
