E-Paper
India and Britain sign pact to cut costs for expats, ease cross-border work
The pact will exempt employers of Indian workers from paying social security contributions in the UK for three years
India and the UK on Tuesday signed an agreement to eliminate double social security payments for employees on short-term assignments in both countries, thereby facilitating the cross-border movement of professionals.
The Agreement on Social Security relating to Social Security Contributions, a key component of the India-UK free trade pact finalised in July 2025, was signed by foreign secretary Vikram Misri and British high commissioner Lindy Cameron in New Delhi.
The agreement will result in the avoidance of double social security contributions for nationals of both countries on temporary assignments in each other’s territories for periods of up to 36 months, the external affairs ministry said. It will also support mobility and continued social security coverage of employees on short-term overseas assignments.
“This will enhance India-UK partnerships in the service sector, leveraging the high skills and innovative service sectors of both countries,” the ministry said in a readout.
The agreement is part of India’s trade deal with the UK and will take effect alongside the Comprehensive Economic and Trade Agreement (CETA), scheduled for implementation in the first half of 2026.
The pact is expected to give a fillip to India’s services sector, especially finance and technology, by exempting employers of Indian workers from paying social security contributions in the UK for three years. The government had earlier said the agreement is expected to benefit around 75,000 workers and more than 900 companies, resulting in savings of more than ₹4,000 crore.
Double social security contributions by professionals and employees in their home country and the nations where they are temporarily deputed have been a long-standing concern for Indian businesses and skilled workers.
India has concluded similar bilateral social security agreements with other countries to protect the interests of Indian professionals and skilled workers working abroad for short durations and to enhance the competitiveness of Indian companies. India currently has such agreements with more than 20 countries, including Australia, Canada, Japan, Germany and Sweden.
The agreement with the UK will be hosted on the websites of the external affairs ministry and the Employees’ Provident Fund Organisation (EPFO) for the information of stakeholders, so that they can secure Certificates of Coverage (CoC) to avoid making dual social security contributions. The EPFO is authorised to issue certificates to Indian nationals working in countries that have signed social security agreements.
