Kemi Badenoch, the Conservative leader, has strongly denied claims made by unnamed Indian officials regarding the UK’s trade deal with India. The accusations, which were reported by the Financial Times, have caused a war of words between the two countries.
The trade deal, brokered by Keir Starmer’s government, includes tax breaks for Indian workers in the UK. Under this arrangement, workers seconded to the UK from India-based companies will be exempt from paying National Insurance for three years. A similar arrangement will also be put in place for British employees in India.
However, Badenoch has criticized this “two-tier” tax arrangement, stating that it will harm British workers by making it cheaper to employ those from India. She has been vocal about her stance that “no deal is better than a bad deal” and has consistently opposed any trade deals that would put British workers at a disadvantage.
But the Financial Times reported that Badenoch had agreed to a similar tax arrangement when she was the trade secretary in the previous Tory government. However, the deal was never finalized. According to the report, one Indian official stated, “The Tories offered us two years, but we said it wasn’t enough. They put it on the table. We wanted more than three, but the principle had already been conceded in return for some concessions on our side in services.” Another official added, “It’s amazing. It was on the table when she was the trade secretary.”
In response to these allegations, Badenoch took to Twitter to dismiss them as “fake news.” She stated, “This is total and utter rubbish. I never agreed to any such tax deal. The evidence couldn’t be clearer – I refused to sign the deal. As I have always said, no deal is better than a bad deal.”
Despite the accusations, Downing Street has stood by the trade deal, stating that similar tax arrangements are included in trade deals the UK has with around 50 other countries. The trade deal with India is seen as a significant achievement for the UK, as it is the first major trade deal since Brexit.
However, Badenoch’s criticism of the trade deal has caused some controversy. She did not raise the issue during prime minister’s questions, and her own party has accused her of being hypocritical. A Labour spokesperson stated, “Kemi Badenoch has been caught out by her own hypocrisy again. She says one thing, but she has done another. Instead of rallying behind the biggest trade deal since Brexit, she is so desperate to criticize the government that she has attacked her own record.”
The spokesperson further added, “It is her style to put party before country, so it is no wonder that she failed to deliver an agreement that will bring significant benefits to British businesses. This trade deal is expected to bring an annual £4.8 billion boost to British businesses, create more jobs, raise wages by more than £2 billion a year, and bring down prices for hard-pressed consumers.”
The trade deal with India has been hailed as a major achievement for the UK, and it is expected to bring significant economic benefits. It will also strengthen the relationship between the two countries and open up new opportunities for trade and investment.
Despite the criticism from some quarters, the trade deal has received widespread support from businesses and politicians across the UK. The tax breaks for Indian workers are seen as a necessary step in attracting investment and promoting business ties between the two countries.
In conclusion, Kemi Badenoch’s denial of the claims made by unnamed Indian officials is a strong statement of her commitment to protecting British workers. While there may have been discussions about a similar tax arrangement in the past, Badenoch’s refusal to sign the deal is a testament to her determination to put the interests of British workers first. The trade deal with India is a significant achievement for the UK, and it is expected to bring numerous benefits to the country’s economy. It is a testament to the strong relationship between the UK and India and the potential for future collaborations.


