What Happened
- India and the United Kingdom signed a Social Security Agreement on February 10, 2026, to prevent double social security contributions for employees of both countries on temporary assignments of up to 36 months.
- The agreement was signed by Foreign Secretary Vikram Misri and British High Commissioner to India Lindy Cameron.
- The pact is linked to the India-UK Comprehensive Economic and Trade Agreement (CETA), signed in July 2025, and will come into effect together with the CETA during the first half of 2026.
- The agreement is expected to benefit approximately 75,000 Indian workers, including employees of IT companies operating in the UK.
- Certificates of coverage will be available through the EPFO (Employees' Provident Fund Organisation) and the MEA website to enable stakeholders to avoid double contributions.
Static Topic Bridges
Social Security Agreements (SSAs) — Framework and Purpose
Social Security Agreements are bilateral treaties that prevent the double payment of social security contributions by workers and their employers when the workers are temporarily deployed to another country. Without such agreements, employees on overseas assignments must contribute to social security schemes in both countries simultaneously — in the home country (to maintain coverage) and in the host country (under local law).
- India has signed 20 SSAs with 19 countries, of which 18 are currently operational; the first SSA came into force with Belgium in 2009
- Countries with operating SSAs include: Belgium, Germany, Switzerland, Luxembourg, France, Denmark, South Korea, the Netherlands, Hungary, Finland, Sweden, Czech Republic, Norway, Austria, Canada, Australia, Japan, and Portugal
- The Employees' Provident Fund Organisation (EPFO) is the nodal agency for issuing Certificates of Coverage (CoC) or detachment certificates
- SSAs typically cover a "detachment period" of 3-6 years, during which the worker continues contributing only to the home country's social security system
- The India-UK agreement covers a 36-month (3-year) detachment period
Connection to this news: The India-UK SSA is India's 20th such agreement and specifically targets the large Indian IT workforce in the UK. By preventing double contributions, it reduces the compliance burden on Indian companies operating in the UK and their employees.
India-UK Comprehensive Economic and Trade Agreement (CETA)
The India-UK CETA, signed in July 2025 after over a decade of negotiations, is a comprehensive free trade agreement covering goods, services, investment, intellectual property, and government procurement. It is one of India's most significant trade agreements, given the UK's position as the 6th largest economy and a major destination for Indian services exports.
- Negotiations launched in January 2022; concluded in July 2025 after 14 rounds of negotiations
- The deal covers tariff reduction on goods, market access for services (particularly IT/ITES, nursing, and professional services), investment protection, and digital trade provisions
- India is the UK's 12th largest trading partner; bilateral trade was approximately $40 billion in 2024-25
- The UK has the third-largest Indian diaspora globally (approximately 1.8 million people of Indian origin)
- The CETA is expected to increase bilateral trade by up to $28 billion per year by 2035
- Key Indian gains: enhanced market access for textiles, leather, gems and jewellery, and agricultural products; services mobility provisions for Indian professionals
Connection to this news: The Social Security Agreement was a commitment made during the CETA signing. It forms part of the broader architecture of the India-UK trade deal, addressing the practical concerns of workforce mobility that underpin services trade between the two countries.
Employees' Provident Fund Organisation (EPFO) and International Workers
EPFO, established in 1951 under the Employees' Provident Funds and Miscellaneous Provisions Act, 1952, administers India's mandatory retirement savings scheme — the Employees' Provident Fund (EPF). For international workers, EPFO manages the SSA framework through the International Workers Portal.
- EPFO is one of the world's largest social security organisations, managing over 28 crore accounts (EPF + EPS + EDLI)
- EPF contribution: 12% of basic salary by the employee and 12% by the employer (8.33% to EPS, 3.67% to EPF)
- The UK's equivalent is the National Insurance Contributions (NIC) system, administered by HM Revenue and Customs
- Under SSA, an Indian worker posted to the UK for up to 36 months continues contributing only to EPFO and is exempt from UK NIC; the reverse applies for UK workers posted to India
- Certificate of Coverage (CoC) applications are filed online through the EPFO International Workers Portal; approved via employer e-sign
- The 2008 amendment to the EPF Act brought international workers (IW) under the purview of EPFO — all IW employees in India must contribute to EPF unless exempted by an SSA
Connection to this news: The EPFO's International Workers Portal will host the India-UK SSA provisions and process CoC applications, enabling Indian IT professionals and other workers in the UK to claim exemption from UK NIC during their temporary assignments.
Key Facts & Data
- Agreement signed: February 10, 2026, by Foreign Secretary Vikram Misri and British High Commissioner Lindy Cameron
- Detachment period: 36 months (employees exempt from host country contributions during this period)
- Expected beneficiaries: approximately 75,000 Indian workers in the UK
- India's total SSAs: 20 signed with 19 countries; 18 operational
- India's first SSA: with Belgium (came into force 2009)
- India-UK bilateral trade: approximately $40 billion (2024-25)
- India-UK CETA: signed July 2025; implementation planned for first half of 2026
- Indian diaspora in the UK: approximately 1.8 million people