India and the United Kingdom crossed an important finish line on 15 July 2026 when the Comprehensive Economic and Trade Agreement (CETA) and the accompanying Agreement on Social Security formally entered into force. The new pact eliminates UK National Insurance payments for most Indian employees sent on short-term assignments of up to five years. Until now, companies routinely paid social-security contributions in both countries or re-engineered assignments to stay below 24 months to qualify for detached-worker certificates. The exemption will apply automatically once the assignee remains on India’s Employees’ Provident Fund (EPF) rolls and carries a Certificate of Coverage. UK employers should therefore review secondment letters, payroll instructions and shadow-payroll set-ups to ensure contributions stop from the next pay cycle. Beyond assignee costs, CETA slashes tariffs to zero on 99 per cent of Indian exports and 92 per cent of UK exports. Goods can ship under preference immediately: the Directorate General of Foreign Trade issued the first electronic certificates of origin (e-CoO 2.0) minutes after midnight, and more than 50 consignments—several routed through Mumbai’s air-cargo complex—cleared customs on day one. Service-sector chapters cover professional services, education, IT and mobility, giving Indian nationals clearer pathways for short-term business visas, installation work and intra-corporate transfers once UK regulations are aligned. For mobility managers the headline is cost. PWC India estimates that a £100,000 gross salary attracts about £16,000 in combined UK employer/employee social-security charges. Waiving those contributions could cut assignment budgets by 8-10 per cent. Indian multinationals already staffing UK projects in consulting, fintech and pharmaceuticals stand to save millions of pounds per year. Employers must, however, track duration carefully. Once a posting exceeds five years, UK National Insurance resumes unless an extension is negotiated. Companies should also update assignment letters to reference CETA Article 10.12 (temporary presence of natural persons) and keep copies of the employee’s Certificate of Coverage and UK immigration documents on file.
