UK-India trade deal worth over $6 billion to start July 15

British Prime Minister Keir Starmer speaks with India's Prime Minister Narendra Modi as they arrive for a working session with G7 leaders and outreach partners on promoting economic growth during the G7 Summit in Evian-les-Bains, France, June 17, 2026. (Photo: Reuters)

LONDON, June 17 (Reuters) – Britain’s free trade agreement with India will come into force on July 15, the ​British government said on Wednesday, reaching agreement ‌to implement the deal despite a dispute over London’s forthcoming steel tariff regime.

Indian officials had raised the prospect of reopening or ​delaying the application of the FTA, worth £4.8 ​billion ($6.5 billion) and signed last year, over concern ⁠about the impact of new UK steel ​trade measures, due to come into effect on ​July 1.

But the two countries agreed to move ahead with implementation of the trade deal after British Prime Minister Keir ​Starmer held talks with his Indian counterpart ​Narendra Modi at a G7 leaders summit in France.

“The deal ‌gives ⁠British exporters an edge over international competitors, and I would encourage all businesses to ensure they are properly prepared,” British Business and Trade Secretary Peter ​Kyle said ​in a ⁠statement.

Under the deal, India will cut whisky tariffs to 40% from 150%, ​and automotives from 10% under a quota ​to ⁠100%, with Britain cutting tariffs on goods such as clothes, footwear and some food.

The British government said ⁠businesses ​had 28 days to register ​in order to get the benefit of tariff reductions.

($1 = 0.7462 ​pounds)