India and the United Kingdom have signed Social Security Agreement aimed at protecting temporary employees from paying double social security contributions. The agreement was signed in New Delhi on February 10, 2026, by Vikram Misri and Lindy Cameron. The move is expected to boost professional mobility between the two countries and forms part of the broader India-UK Comprehensive Economic Trade Agreement.
What Is the India-UK Social Security Agreement?
- The India-UK Social Security Agreement ensures that employees sent on temporary assignments to the other country for up to 36 months will not be required to pay social security contributions in both countries simultaneously.
- This eliminates the burden of double contributions, which often increases employment costs for companies and reduces take-home benefits for workers.
- The agreement safeguards employees social security coverage in their home country during short-term overseas postings.
Why This Agreement Matters for Temporary Employees
- For Indian professionals working temporarily in the UK or British employees in India the agreement provides financial relief and administrative clarity.
- By preventing duplicate payments, it reduces operational costs for companies and makes cross-border assignments more attractive.
- The pact is especially important for sectors such as IT, financial services, education, and consulting, where short-term overseas deployments are common.
Part of the Broader India-UK Trade Deal
- The Ministry of External Affairs stated that the Social Security Agreement forms part of the India-UK Comprehensive Economic Trade Agreement.
- The social security pact will come into force along with the broader trade agreement.
- This integration shows that labour mobility and social protection are central components of modern trade deals, strengthening economic cooperation beyond goods and services.
Impact on Labour Mobility and Economic Ties
- The agreement enhances labour mobility by ensuring continued social security coverage for employees on short-term assignments.
- It aligns with India’s strategy to support skilled professionals working abroad while encouraging reciprocal opportunities.
- By removing financial barriers, the India-UK Social Security Agreement is expected to deepen economic engagement and strengthen bilateral trade and investment flows.
India-China Strategic Dialogue Also Held
- On the same day, Foreign Secretary Vikram Misri also held the India-China Strategic Dialogue with Ma Zhaoxu, who was in India for the BRICS Sherpa Meeting.
- Both sides reviewed positive momentum in bilateral ties and discussed enhancing people-to-people exchanges.
- They also exchanged views on regional and global issues, reflecting India’s active diplomatic engagement on multiple fronts.
About Social Security Agreements (SSAs)
- Social Security Agreements are bilateral arrangements that prevent workers from paying contributions in two countries for the same period of employment.
- India has signed similar agreements with several countries to facilitate global mobility of its workforce.
- These agreements ensure protection of pension rights and reduce compliance costs for employers, making international assignments smoother.
Question
Q. The India-UK Social Security Agreement aims to prevent,
A. Double taxation
B. Double social security contributions
C. Visa restrictions
D. Trade tariffs