November 13, 2024
Over 667 UK-owned firms in India generate INR 5 trillion in revenue and employ more than 523,000 people, underscoring their economic influence
Maharashtra leads as a key hub, hosting 36% of UK businesses in India, followed by Delhi NCR, Karnataka, and Tamil Nadu
Nearly 63% of UK firms in India are micro, small, or medium enterprises, primarily in business services, industrial products, telecom, and tech
British International Investment (BII) has pledged US$2.2 billion to India, with an additional US$1 billion investment planned by 2026 in climate-focused projects
The “Britain Meets India 2024” report by Grant Thornton Bharat and the Confederation of Indian Industry (CII) highlights the increasing impact of UK firms on India’s economic landscape. The report reveals that 667 UK-owned companies in India are generating INR 5 trillion in revenue and supporting over 523,000 jobs across key sectors, including education, technology, and infrastructure, aligning with India’s economic and sustainability goals.
According to the report, 162 UK companies in India generate over INR 50 crore in annual revenue and maintain a growth rate of at least 10% year-on-year. Maharashtra has emerged as a central hub for these firms, hosting 36% of UK businesses, while other regions, such as Delhi NCR, Karnataka, and Tamil Nadu, also attract significant British investments. Nearly 63% of the UK firms operating in India are classified as micro, small, or medium-sized enterprises, primarily engaged in business services, industrial products, telecom, and technology.
Experts highlighted that opportunities for UK companies in India are poised to grow further, especially with an India-UK Free Trade Agreement on the horizon. There is an expanding scope in renewable energy and climate finance sectors as India works towards its 2070 net-zero goals.
The report notes that UK businesses in India have achieved an impressive average growth rate of 71% in 2024, compared to 46% in 2023, with the business services sector leading the surge due to India’s skilled labour and expanding consumer base. British International Investment (BII) has committed US$2.2 billion towards India’s climate initiatives and plans to invest an additional US$1 billion by 2026, while Lightsource BP has invested £2 billion in India’s solar energy projects.
The technology sector is witnessing intensified UK-India collaborations, such as the Technology Security Initiative, to advance Open RAN systems and 6G technology, which will bolster telecom infrastructure in both nations. UK companies, including Vedanta Ltd, are experiencing substantial growth, with fifteen firms reporting triple-digit revenue increases this year. This further cements the UK-India economic partnership, valued at £42 billion and supporting over 700,000 jobs across both economies.
Source: Mint