Indian firms proliferate in UK as trade ties deepen

New Delhi: The number of Indian-owned companies in the UK has touched a record high—a sign of growing investor confidence following the conclusion of talks on the India–UK free trade agreement (FTA). 

A total of 1,197 Indian companies are currently active in the UK, up more than 23% from 971 firms recorded in 2024, according to the latest edition of the ‘India Meets Britain Tracker’.

This is the highest number since the tracker began monitoring company presence in 2017 and represents the steepest year-on-year increase.  The report does not mention the number of companies operating in 2017.

The sharp rise comes as the two countries prepare to usher in a new phase of economic cooperation under a comprehensive trade deal.

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Union commerce minister Piyush Goyal is currently in the UK, where he held discussions with his opposite number Jonathan Reynolds. Goyal also participated in the plenary session of the India Global Forum and launched the tracker report, signalling stronger policy and business alignment in the run-up to the FTA’s implementation.

The tracker—a joint research initiative by Grant Thornton and the Confederation of Indian Industry (CII), with new support this year from India Global Forum—identifies the fastest-growing Indian firms in the UK, top employers and sectoral shifts, while mapping their performance and regional spread. 

This year’s edition comes just over a month after the India–UK FTA was finalized, a deal expected to significantly boost bilateral trade and accelerate investments from both sides.

Indian businesses in the UK reported a combined revenue of £72.14 billion in 2025, compared with £68.09 billion in the previous year, as per the report. These companies employ 126,720 people across the UK and generated over 8,000 new jobs in the past year. The share of women on company boards has risen to 24% from 21% in 2024.

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“This surge in Indian business activity in the UK reflects the evolving economic convergence between the two nations. With the FTA in place, Indian companies are set to gain even greater market access and operational certainty,” an Indian government official said when asked to comment on the report.

Notably, this year’s tracker identifies 74 companies that recorded revenue growth of over 10%, with an average growth rate of 42% and a combined revenue of £32.6 billion. These high-growth firms paid £67.3 million in corporation tax.

This year, 14 Indian-owned businesses in the UK each employed over 1,000 people, up from 11 such companies last year. Together, these firms account for 88,693 jobs—around 70% of the total workforce employed by Indian companies in the UK. Of these, eight companies reported an increase in their workforce, while six saw a decline.

Airtel Africa Plc recorded the highest employee growth over the past year, with a 23% rise in staff, followed by Essar Oil (UK) Ltd, which saw a 20% increase. Notably, Essar Oil (UK) and Barnagore Jute Factory Plc made their debut on this year’s list of top Indian employers in the UK. Essar’s entry is attributed to its major investments in decarbonization projects that align with the UK’s energy transition goals and have contributed to new job creation.

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IT major Wipro’s UK subsidiary led the rankings with a staggering 448% growth, followed by corporate tech services firm Zoho Corporation Ltd, which posted 197% growth. Twenty firms debuted in the tracker this year, while 41 from last year retained their positions.

London remains the hub for Indian investment in the UK, hosting 47% of tracker firms, followed by South England (24.3%). The technology, media, and telecom (TMT) sector continues to dominate, accounting for 31% of all companies on the list, while pharmaceuticals and chemicals account for 22%. Financial services, now comprising 9.5% of firms, have seen notable growth amid the strategic expansion of Indian banks and financial institutions in London.

Anuj Chande, Partner and Head of the South Asia Business Group at Grant Thornton, said the tracker reflects the strong and growing bilateral synergy. “It is evident that India continues to see the UK as a key investment hub. As the recent milestone UK–India free trade agreement highlighted, there is a distinct economic commonality and a mutual desire to trade and invest more with one another.”

The UK government estimates the FTA will boost annual bilateral trade by £25.5 billion by 2040, giving UK firms enhanced access to India’s fast-growing economy and a consumer base of over 300 million middle-class citizens.

India Global Forum founder and CEO Manoj Ladwa said that Indian reforms over the last decade have enabled companies to look outward with greater ambition. “As the UK and India enter a new era shaped by the free trade agreement, India Global Forum’s UK–India Future Forum is becoming a vital modern platform to facilitate this next chapter of collaboration.”

The FTA, which eliminates or reduces duties on a broad range of goods and services and eases regulatory hurdles, is expected to come into force later this year. Indian negotiators see it as a model agreement balancing traditional trade concerns with new-age economic priorities, particularly in digital trade and services.

India’s exports to the UK stood at $14.55 billion in FY25, while imports were valued at $8.61 billion. In FY24, exports were $12.98 billion and imports amounted to $8.41 billion. Trade between the two countries rose to $23.16 billion in FY25, up from $21.39 billion in FY24, as per the commerce ministry data.