India-UK Social Security Agreement to Save Indian Firms About £500 Million Annually

India and the United Kingdom will implement a double‑contribution convention (DCC) from 15 July, exempting Indian professionals and their employers from paying UK social‑security contributions when contributions are already made in India. The pact is expected to benefit roughly 75,000 Indian workers in the UK, with 90‑95 % of them eligible for the exemption, and to generate annual savings of about £500 million for Indian companies operating there.

The agreement chiefly aids large Indian IT service firms such as Tata Consultancy Services and Infosys, whose employees earn an average £40‑50 k per year, with around 15 % of salaries currently directed to UK social‑security. Under the DCC, covered employees can work in the UK for up to five years without additional contributions, provided a coverage certificate is issued. The broader economic and trade treaty between the two countries also takes effect on the same date, after India’s 2024 service exports to the UK totaled $21.6 billion and imports $13.7 billion.