Prime Minister Narendra Modi and British Prime Minister Keir Starmer on Thursday highlighted the potential of the newly signed India-UK trade agreement to transform bilateral relations. The two leaders met in Mumbai as Starmer began his two-day visit to India with a 100-member delegation from the business, culture, and education sectors.
The trade pact, signed earlier this year, aims to reduce tariffs on key products like textiles, whisky, and automobiles while increasing market access for companies in both nations. It targets a 25.5 billion-pound boost in two-way trade by 2040.
The leaders announced several joint initiatives, including the creation of an India-UK Connectivity and Innovation Centre and a joint AI hub. A new Critical Minerals Industry Guild was also unveiled to strengthen supply chains and promote sustainable technology. Additionally, both nations agreed to invest in a climate tech startup fund and expand collaborations in renewable energy, offshore wind, and healthcare research.
In defence, Britain signed a &pound;350 million contract to supply the Indian Army with lightweight multi-role missiles and launched a &pound;250 million collaboration on electric naval engines. The Indian Air Force will also send flying instructors to train with the Royal Air Force.
Starmer&rsquo;s visit marks a major step in expanding trade, innovation, and strategic cooperation between the world&rsquo;s fifth and sixth-largest economies.

PM Modi and UK’s Keir Starmer boost economic, defence and tech cooperation in Mumbai talks

India, UK Strengthen Trade and Defence Ties

PM Modi and UK’s Keir Starmer boost economic, defence and tech cooperation in Mumbai talks

October 9, 2025 | 16:21 IST