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UK Power Shift: What Are the Gains and Losses for India? Analyzing the Impact of Britain’s Government Change

Giriraj Sharma
Last updated: July 5, 2024 9:17 pm
By Giriraj Sharma
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UK Election 2024: What Are the Gains and Losses for India?
UK Election 2024: What Are the Gains and Losses for India?
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UK Election 2024: The results of the UK General Elections 2024 are out. In the election, the Labor Party has won 410 seats out of 650 (326 majority figure) so far. In such a situation, the Labor Party is going to return to power after 14 years. Keir Starmer will become the new Prime Minister. Whereas Rishi Sunak’s Conservative Party has got only 119 seats so far. After which Sunak accepted his defeat. He has come to submit his resignation to King Charles. In such a situation, the question arises whether Rishi Sunak’s defeat in the UK elections will affect the India-UK Free Trade Deal? What does Keir Starmer becoming the Prime Minister mean for India:-

Table of Contents

  • India and Britain are talking about a 38.1 billion pound free trade deal
  • Rishi Sunak’s party had talked about approving the FTA
  • Keir Starmer also wants to maintain good relations with PM Modi
  • Issuing work permits to Indian workers is a challenge in FTA
  • What does Keir Starmer’s becoming the British PM mean?

India and Britain are talking about a 38.1 billion pound free trade deal

Actually, India and Britain have been trying to finalize a free trade deal of 38.1 billion pounds (4.28 lakh crore rupees) for a few years. Both the countries have held 14 rounds of talks on FTA so far.

But first due to the long-running Lok Sabha elections in India and then due to the elections in Britain, the final talks on this deal were halted. Many rounds of talks have been held between the two countries regarding this deal.

Contents
Table of ContentsIndia and Britain are talking about a 38.1 billion pound free trade dealRishi Sunak’s party had talked about approving the FTAKeir Starmer also wants to maintain good relations with PM ModiIssuing work permits to Indian workers is a challenge in FTAWhat does Keir Starmer’s becoming the British PM mean?

It is being said that only the paperwork is left on the free trade deal. With this deal, India can get exemption in mutual tariff on cars, clothes, intoxicating beverages and medical equipment.

UK Election 2024
After losing the election, Rishi Sunak has apologized to the people of Britain.

Rishi Sunak’s party had talked about approving the FTA

Rishi Sunak’s Conservative Party had talked about approving the free trade deal with India in its manifesto. Along with this, emphasis was laid on strengthening the strategic partnership in the defense and technology sector.

On the other hand, Keir Starmer and the Labor Party also seem to be in favor of FTA with India. They have announced to take forward the new strategic partnership with India after forming the government.

Keir Starmer also wants to maintain good relations with PM Modi

Labour Party leader and the new Prime Minister Keir Starmer has also said on several occasions that he wants to maintain good relations with PM Narendra Modi and the Indian government. This policy of Starmer is quite different from the policies of Labour Party leader Jeremy Corbyn.

Recently, during the campaign, David Lammy, the shadow minister from the opposition in Britain, had said that he wanted to send a message to India’s Finance Minister Nirmala Sitharaman and Trade Minister Piyush Goyal that the Labor Party is ready for FTA.

In such a situation, if the Labour Party government in Britain makes improving relations with India a part of its agenda, then the new PM Keir Starmer will have to include signing the FTA with India in his priority. 

UK Election 2024: King Charles has appointed Keir Starmer as the new PM of Britain.
King Charles has appointed Keir Starmer as the new PM of Britain.

Issuing work permits to Indian workers is a challenge in FTA

According to a report in the ‘Financial Times’, the biggest challenge in the way of a free trade deal with India is issuing work permits to those Indian workers who have come to Britain from India. Because the Labour Party has said in its manifesto that if it comes to power, it will reduce the number of legal migrants. Also, it will stop illegal migrants from entering Britain. Many legal Indian migrants living in Britain are professionals working in the IT sector. They have got work permits.

What does Keir Starmer’s becoming the British PM mean?

Keir Starmer’s becoming the new PM of Britain is expected to have a positive impact on India. Because keeping Indians happy is also their need. In such a situation, an important aspect of Britain’s foreign policy agenda will be to strengthen the relations between the United Kingdom (UK) and India.

Starmer has earlier accepted the Labor Party’s stand on issues like Kashmir and has also talked about strategic partnership with India. He has also emphasized on increasing cooperation between the two countries regarding FTA and technology, security, education and climate. 

Forgetting his old statements, he had said recently that he is with India on the Kashmir issue. It is clear from this that the Labour Party wants to build more trust within the British-Indian communities.

Before the elections, Starmer had said that the Labour Party has changed and it is not anti-India. This is not the party that was led by Jeremy Corbyn and talked about international intervention on the Kashmir issue.

Let us tell you that the Labor Party under the leadership of Jeremy Corbyn passed a resolution in its annual event in 2019. In this resolution, it was announced that a humanitarian crisis has arisen in Kashmir.

This resolution brought under the leadership of Corbyn stressed that Kashmir should be given the right to self-determination. India opposed this proposal. Later this proposal was rejected in the Labor Party.

Then Keir Starmer has promised that he will improve relations with India. It is expected that after becoming PM, Starmer will take the relationship between India and Britain to a ne

Also Read :

UK Election 2024: Keir Starmer became the 58th Prime Minister of Britain, Labour Party returned to power after 14 years of exile; Sunak left 10 Downing Street

TAGGED:10 Downing StreetBritain ElectionsBritain Elections 2024International NewsKeir StarmerLabour PartyRishi SunakTop StoriesUK Election 2024UK ElectionsUK Elections 2024World News
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ByGiriraj Sharma
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Over 25 years in journalism with interests in politics, society, environment, development, education, health, and emerging tech like AI. [ Former Editor (M&C) Zee Regional Channels | Coordinating Editor, ETV News Network/News18 Regional Channels | State Editor, Patrika Chhattisgarh | Digital Content Head, Patrika.com | Media Consultant | Persona Designer ]
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