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The Britain Meets India 2024 report highlighted the growing presence of UK businesses across India, showcasing a remarkable economic cooperation.
Currently, 667 UK companies operate in India, and many are seeing robust growth.
India and the United Kingdom share a thriving economic partnership, with UK businesses contributing significantly to India’s economy. Despite India being under the British colonial rule for nearly two centuries, UK companies have today become major players in the Indian market, generating over Rs 5 lakh crore in annual revenue and providing employment to more than 5.23 lakh people. The Britain Meets India 2024 report, published by Grant Thornton India and the Confederation of Indian Industry (CII), highlighted the growing presence of UK businesses across India, showcasing a remarkable economic cooperation.
UK Companies Achieving Impressive Growth in India
Currently, 667 UK companies operate in India, and many are seeing robust growth. According to the report, 162 of these companies have reported an annual revenue exceeding Rs 50 crore, with an impressive growth rate of 10% year-on-year. These companies are primarily concentrated in key sectors such as education, technology, and infrastructure, all of which are crucial to India’s ongoing economic expansion.
Free Trade Agreement Expected to Boost Growth Further
Looking ahead, the UK and India are in active discussions over a Free Trade Agreement (FTA), which is expected to facilitate even greater business opportunities for UK companies operating in India. Pallavi Bakhru, Head of the India-UK Corridor at Grant Thornton India, explained that the FTA will not only help UK businesses expand their footprint but will also support India’s broader environmental and economic goals, including achieving carbon neutrality by 2070. The UK’s expertise in renewable energy, Bakhru notes, will be pivotal to India’s energy transition.
Maharashtra Leads in Attracting UK Investment
Maharashtra stands out as the most attractive destination for UK companies, with 36% of their businesses in India based in the state. Other states such as Delhi-NCR, Karnataka, and Tamil Nadu also host a significant proportion of UK companies. A notable 63% of UK businesses in India are small and medium-sized enterprises (SMEs), which are especially active in sectors like industrial products, media, telecommunications, and technology.
UK-India Partnership Built on Long-Term Growth
The report underscored the vital role UK companies play in India’s economy, not just through the direct revenues they generate, but also through their support for long-term investment and economic development. With continued growth in trade and business ties, India and the UK are set to further strengthen their economic relationship, opening up new avenues for collaboration in the years ahead.
