UK has announced a one billion pound bilateral trade and investment deal with India. This comes ahead of a virtual meeting between Prime Minister Narendra Modi and British Prime Minister Boris Johnson on a new enhanced trade partnership.

The deal comprises 533 million pounds of new Indian investment into the UK, including a 240 million pound investment by vaccine maker Serum Institute to support clinical trials and research & development of vaccines in Britain.

The two countries have also signed a migration and mobility partnership agreement to facilitate legal travel and flow of talent between the two countries.

The UK and India will also begin formal talks for a free trade deal later this year. The UK PM's statement says that a future UK-India trade deal will support hundreds of thousands of jobs and boost the economy by potentially lowering or removing current tariffs.

To decode the impact of the deal, Shereen Bhan spoke to Richard Heald, Group Chair of UKIBC.

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(Edited by : Bivekananda Biswas)