Voices. Verdicts. Vision

Voices. Verdicts. Vision

Inclusion of legal market in the India-UK FTA: A Road not taken

By Keertesh Tripathi*

Hon’ble Prime Minister Narendra Modi is visiting London today i.e., 24th July, 2025 to meet his counterpart Mr. Keir Steimer and sign the much-awaited Free Trade Agreement (FTA) which was concluded between India and the United Kingdoms on 6th May, 2025. Commerce and Industry Minister Mr. Piyush Goyal is accompanying the PM for the historic signing. The FTA is a result of three years of deliberations and discussions between both the countries- and marks the most significant trade pact for UK since its exit from the European Union in 2020. The pact also holds significance for India as it is our first major trade agreement with any Western nation since 2019 when India declined talks from China-led Regional Comprehensive Economic Partnership (RCEP).

The FTA targets doubling bilateral trade to $120 billion by 2030, adding a further $40 billion by 2040. This builds on recent growth, where India’s exports to the UK rose 12.6% to $14.5 billion and imports grew 2.3% to $8.6 billion in 2024-25, pushing total trade to $21.34 billion in 2023-24. Key concessions include India eliminating import duties on major exports like leather, footwear, and clothing. The UK reciprocates by cutting tariffs on whisky, gin, soft drinks, cosmetics, lamb, and farm goods. Crucially, India will slash car duties for the UK to 10% (from over 100%), raising domestic industry concerns. UK firms gain significant access to India’s telecom, banking, and insurance sectors and can bid on central government contracts, while India secured only limited visa access and agreed to stringent IP rules potentially impacting medicine affordability.

Another key aspect which could have been included in the FTA is the access to the legal market. On 5th June, 2023 Bar Council of India (BCI) and Bar Council of England and Wales, the Law Society of England and Wales signed a historic Memorandum of Understanding[1] which strengthened legal collaborations between the two countries. The MoU announced permission to English and Welsh lawyers and law firms to practice law in India on the basis of reciprocity.

In light of the MoU, BCI released a press release[2] on 14th May, 2025 revising its rules governing foreign lawyers and law firms in India. These rules strictly limit foreign practice to non-litigious foreign and international legal matters, including international commercial arbitration involving such laws. Crucially, foreign lawyers are prohibited from practicing Indian law, appearing in Indian courts and tribunals, or conducting litigation. The regulations explicitly reserve Indian law practice exclusively for advocates registered under the Advocates Act, 1961, to protect their interests. The framework operates on reciprocity, ensuring mutual obligations while facilitating foreign practice only in defined areas without infringing on Indian advocates’ domain. The following press release was welcomed[3] by Madam Barbara Mills KC, Chair of the Bar Council of England and Wales.

Given that UK is the second biggest legal service provider in the world (contributing £57.8 billion annually to its economy), and with India projected[4] to being the third largest economy by 2028 the inclusion of access to the legal market could have mutually benefited both the countries. President of the Law Society of solicitors in England and Wales, Mr. Richard Atkinson expressed disappointment that the UK-India Free Trade Agreement was finalized without addressing legal services, calling it a “missed opportunity[5]” for significant market access. Legal services are vital for enabling trade and investment, yet India remains one of the few major jurisdictions restricting foreign law firms. Atkinson urged renewed UK government support, arguing that integrating legal services would yield major economic benefits, allow Indian companies to access international expertise domestically, and enable young Indian lawyers to develop global skills without leaving India.

Conclusion

The integration of access to legal markets would have reduced the current need for offshore legal work, positioning India as a stronger international dispute resolution hub. Crucially, it would have facilitated vital knowledge transfer, allowing young Indian lawyers to develop globally competitive skills through collaboration with UK firms without leaving India, thereby elevating the employment in the domestic legal sector. As an enabling sector, enhanced legal services connectivity would have directly supported the implementation of the broader FTA by providing the legal infrastructure for businesses navigating new trade terms, ultimately making bilateral trade more efficient and secure for companies in both the nations.

 


*Law Graduate, Symbiosis Law School, Pune

[1] https://www.barcouncil.org.uk/resource/memorandum-of-understanding-signed-with-bar-council-of-india.html

[2] https://www.barcouncilofindia.org/info/press-rele-1bcbwy

[3]https://www.barcouncil.org.uk/resource/mutual-benefits-to-collaboration-between-uk-and-indian-legal-professionals-says-bar-council.html

[4]https://economictimes.indiatimes.com/news/economy/indicators/states-uts-crucial-to-india-becoming-worlds-third-largest-economy-by-2028-morgan-stanley/articleshow/122865866.cms?from=mdr

[5] https://www.lawsociety.org.uk/contact-or-visit-us/press-office/press-releases/uk-india-trade-deal-misses-the-target-on-legal-services-market-access

One thought on “Inclusion of legal market in the India-UK FTA: A Road not taken

  • Jaigovind Tripathi

    Insightful article and very well written in the context of Legal professionals reciprocal opportunities for Lawyers from UK and INDIA.

    Reply

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