New investment deals across AI, textiles, and insurance drive UK’s ‘Plan for Change’ forward
The UK has secured over £100 million (~$125.8 million) in new Indian investments, reinforcing the government’s ‘Plan for Change’ and boosting trade relations. Key deals span sectors including artificial intelligence (AI), textiles, and insurance, with Jaipur Rugs committing £5 million ($6.3 million) to create 75 new jobs, reported fibre2fashion.com.
UK-India trade ties deepen with fresh investments
The UK government has announced over £100 million (~$125.8 million) in new Indian investments, marking a significant step in strengthening trade relations. This influx of capital supports the UK’s ‘Plan for Change’, designed to boost investor confidence and foster economic growth.
The announcement coincides with UK Trade Secretary Jonathan Reynolds’ visit to New Delhi, where trade negotiations with India have been relaunched to create new opportunities for UK businesses. Meanwhile, Investment Minister Poppy Gustafsson visited Bengaluru, advocating for free trade and promoting UK investment.
These investments span AI, professional services, and textiles, and are expected to generate hundreds of jobs over the next three years, according to a joint press release by the Department for Business and Trade and Jonathan Reynolds MP.
Indian investment in the UK continues to grow
The latest figures highlight a 28% increase in inward foreign direct investment (FDI) stock from India by the end of 2023, reinforcing India’s position as the second-largest investor in the UK by project numbers for the fifth consecutive year.
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One of the most significant investments comes from Jaipur Rugs, a leading Indian hand-knotted rug producer, which recently opened a store in London
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The company plans to invest £5 million (~$6.3 million) and create 75 jobs over the next three years
In addition, UK insurance companies now have greater access to the Indian market following India’s decision to raise the FDI cap in the insurance sector from 74% to 100%, further facilitating cross-border collaboration.
Driving innovation and economic growth
Beyond these investments, UK companies in technology and life sciences continue to expand their global footprint, particularly in India. This collaboration strengthens the foundation for future trade and investment opportunities.
“These investment deals will deliver more than £100 million for the UK economy, creating jobs, strengthening growth, and supporting working people,” said Jonathan Reynolds, UK Business and Trade Secretary. He emphasized that the government’s Plan for Change is providing Indian businesses with the confidence to continue investing in Britain.
As India is projected to become the fourth-largest importer by 2035, new opportunities for UK businesses are emerging. In the year leading up to September 2024, the UK exported £17 billion worth of goods and services to India, reflecting the strength of their bilateral trade relationship.
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