Negotiations for the India-UK free trade agreement are expected to resume after the UK holds its general elections on July 4. A scheduled visit by the UK’s trade delegation to New Delhi this week was cancelled due to the current political uncertainty in Britain.
Prime Minister Rishi Sunak has called for a general election on July 4, leading to an abrupt change in plans.
The delegation was set to finalise terms on issues such as work visas for Indians, duty relaxations and imports of British-made electric vehicles.
“The British officials have cancelled their visit … It is assumed that the announcement of elections may have led to the cancellation of their trip,” sources said.
The most recent visit by Indian officials to London occurred in the second week of May, where the Indian deputy chief negotiator reported substantial progress in allowing Indian professionals to work in the UK under certain conditions, and on electric vehicles.
“The deal was progressing well. We were hopeful of closing some of the remaining challenging chapters,” the source said.
Sources said in principle, the UK has agreed to allow Indian professionals to live
and work in the UK for a fixed, yet undecided period under work visas, with options for renewal.