Government defends National Insurance exemption in UK-India deal

The United Kingdom Government has responded against the statements of opposition parties that the commercial agreement of newborns with India could misfortune British workers.

Business Secretary Jonathan Reynolds told the BBC that there was no “situation” in which “British workers undermined as a result of a commercial agreement.

A part of the agreement extends an exemption on the contributions of the National Insurance (NICS) of one to three years, which means that people in short -term visas will only make social security payments in their country of origin when they work abroad.

Opposition parties claim that this could mean that Indian workers are cheaper to use than British workers, especially since the NICs of the United Kingdom employer just increased.

The conservative leader KEMI Badenoch said she had rejected similar compensation when she was a business secretary, because the agreement contains “two -level taxes” that would cost the United Kingdom “hundreds of millions.”

The deputy director of the Liberal Democrat, Daisy Cooper, said that the exemption risked “under the reduction of British workers at a time when they are already being affected by Trump’s commercial war and the tax on wrong jobs.”

The reform leader of the United Kingdom, Nigel Farage, described the agreement as “truly accumulating”, added: “This government does not matter to workers.

But Reynolds said that the agreement does not have an impact on British workers, noting that the United Kingdom has 16 agreements that prevent double labor taxes, which cover more than 50 countries, including the United States, EU and South Korea.

“The conservatives recently, well, a few years ago, when they were in the government, they signed one with Chile for five years. So, British workers are not being undermined,” he said.

“What the conservatives are also confused and the reform is also a situation in which a company in India second to someone for a short period of time for the United Kingdom, or a business of the United Kingdom seconds to a worker in India for a short period of time, where there is no payment systems in simultaneous,”, “,”, “,” Heyly, “,” Heeyly, “Heynyly.

But conservative deputy Matt Vickers said his party was not “confused.”

“Always because to see the commercial agreements made with other countries … that is what Brexit had to open some of those offers, but real is a bad business.”

Reynolds said the agreement was a “great economic victory for the United Kingdom and would deliver” faster growth, higher wages, more tax revenues victories for goods and services. “

He said previously that Indian workers would still be asked to pay the NHS immigration surcharge and that they would not be eligible for the benefits of the national insurance system.

The Secretary of Business also dismissed the statements of the opposition that many more Indian workers would come to the United Kingdom that British workers would go to India.

The agreement, which took three years to negotiate, will facilitate the companies of the United Kingdom export some products, including whiskey, cars and other products to India, and reduce taxes on exports of clothing and footwear from India to the United Kingdom.

Last year, trade between the two countries totaled £ 42.6 billion. The Government has said that the agreement would increase that trade in an additional year of £ 25.5 billion a year by 2040.

The United Kingdom government said to reduce tariffs on clothes, jewels and frozen prawns “could” drive at cheaper prices and more options for consumers.

The Scotch Whiskey Association (SWA), which will benefit from the Indian rates that are reduced, said that exports from Scots to the country could increase by £ 1 billion in the next five years, creating 1,200 jobs throughout the United Kingdom

Tariffs on Scottish whiskey are scheduled from 150% to 75% and are expected to be reduced to 40% in the next decade.

Jean-Etienne Gourgues, president of the SWA and executive director of Chivas Brothers, said the agreement was a “Gamechanger” for the industry.

“Suddenly, we will have 10 million consumers who today cannot pay our product, which will be in a position to pay our product, so it is a great change for us,” he told the BBC.

He added that he would provide “a lot of long -term security and safety” for the business.

“We are going to increase the amount of jobs because everything occurs in Scotland, so the more we will produce, the more people we will need, it will have a direct impact directly for us also indirectly with all the partners we are torturing [with]Hey said.

The Business and Commerce Department said for the first time that the companies of the United Kingdom would have “guaranteed and unprecedented access to the fixed procurement market of India” with access to “approximately 40,000 tenders with a value of at least £ 38 billion a year.”

“We are the only other country in the world with access to that acquisition market, so when you have that successful child that will involve more short -term British workers who go to India,” Reynolds said.

He said it was the largest commercial agreement that the United Kingdom had made from Brexit and that “it would benefit each part of the United Kingdom, but indulormently Scotland, the north, Midlands because or where some industries are located.”