What’s the India, U.Okay. Double Contribution Conference settlement?

Prime Minister Narendra Modi throughout a bilateral assembly with U.Okay. Prime Minister Keir Starmer on the sidelines of the G20 Summit, in Rio de Janeiro. File
| Photograph Credit score: Reuters

India and the U.Okay. on Tuesday (Might 6, 2025) introduced the conclusion of negotiations for a social safety pact, which might assist keep away from double contribution to social safety funds by Indian professionals working for a restricted interval in Britain.

The announcement of the Double Contribution Conference settlement was made together with the free commerce settlement between the 2 international locations.

Presently, Indian professionals working for a restricted interval in Britain contribute to their social safety funds, however aren’t in a position to get their advantages as they return as soon as the tasks are full.

EXPLAINED | India’s proposed free commerce settlement with the U.Okay.

It was a long-standing demand of Indian companies working in Britain to chop down on the extra price burden related to bringing in expert Indian professionals on a short-term foundation.

The obligatory Nationwide Insurance coverage (NI) contributions of expert Indian professionals within the U.Okay. on non permanent visas stay an extra price burden of about 500 British kilos per worker a yr, over and above all different taxes and well being surcharge paid in direction of the Nationwide Well being Service (NHS), as per 2021 information.

Additionally Learn | India dedicated to Free Commerce Settlement with the U.Okay., says Modi

India has social safety agreements with international locations like Belgium, Germany, Switzerland, France, Denmark, South Korea, and the Netherlands.

Thus, Indians going overseas for employment aren’t required to contribute in direction of social safety schemes in these international locations.

They and their employers can proceed with social safety schemes run by the Staff’ Provident Fund Organisation (EPFO) right here in India whereas serving overseas.