In a significant diplomatic achievement, outgoing British Prime Minister Keir Starmer successfully finalized the much-anticipated India-UK Free Trade Agreement (FTA) just before announcing his resignation. This milestone was reached during a meeting with Indian Prime Minister Narendra Modi at the G7 Summit 2026, where both leaders agreed to launch the India-UK Comprehensive Economic and Trade Agreement (CETA) on July 15. This agreement is poised to enhance the already substantial trade relations between the two nations, valued at approximately £48 billion annually.
Throughout his tenure, Starmer championed closer UK-India relations, making the trade agreement a cornerstone of his administration’s objectives. He emphasized the economic growth potential inherent in the deal, recognizing India’s burgeoning global economic influence and the advantages of streamlined trade. Under Starmer’s leadership, the Labour Party committed to deepening collaboration with India across various sectors, including trade, security, education, technology, and climate change initiatives.
Starmer’s political journey began after a distinguished legal career, during which he served as Director of Public Prosecutions. He rose to the position of Prime Minister following Labour’s sweeping election victory in 2024. Despite initial successes in stabilizing the UK economy and implementing domestic reforms, his leadership faced considerable challenges, leading to a decline in his political standing.
In his resignation speech, Starmer expressed gratitude and respect for his party, acknowledging their belief that he was no longer the right leader for Labour’s future electoral prospects. With this announcement, he concluded an impactful period in British politics, marked by both noteworthy achievements and significant political hurdles.