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UK and India Announce £350 Million Defence Contract

Written by: Team Angel OneUpdated on: 10 Oct 2025, 8:06 pm IST
The UK and India have signed a £350 million defence deal under which India will receive Lightweight Multirole Missiles, with production in Belfast securing 700 jobs.
UK and India Announce £350 Million Defence Contract
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The United Kingdom has agreed to a defence contract with India worth £350 million (₹4,154 crore), as per recent reports. Under this agreement, the Indian Army will receive Lightweight Multirole Missiles (LMMs). These missiles will be manufactured in Belfast, Northern Ireland, at a factory that currently produces similar weapons for Ukraine.

The contract is expected to secure 700 jobs at the Belfast facility. Thales, the manufacturer, will handle production of the missiles. The UK government said the deal could lead to further collaboration on complex weapons systems between India and the UK.

Visit of the UK Prime Minister

The announcement was made during UK Prime Minister Rishi Sunak’s first official visit to India. He met Indian Prime Minister Narendra Modi in Mumbai. Their discussions focused on defence, trade, and technology cooperation.

Trade Agreement Context

The visit follows the signing of the Comprehensive Economic and Trade Agreement (CETA) earlier this year. The trade deal is expected to reduce import costs, create jobs, and increase trade between India and the UK. The UK delegation accompanying the Prime Minister was the largest ever to visit India.

Defence Cooperation

The UK has been focusing on increasing defence exports and aligning spending with NATO targets. Recent deals include a $13.5 billion frigate contract with Norway. India and the UK also signed a follow-up agreement on electric-powered engines for naval ships, initially worth £250 million.

Both leaders highlighted shared values such as democracy, freedom, and the rule of law. They noted that cooperation between India and the UK contributes to stability amid global uncertainty.

Read More: SEBI’s Derivatives Paper Taking Longer Due to Inclusive Approach!

Conclusion

The £350 million defence deal will provide missiles to the Indian Army and support jobs in Northern Ireland. It forms part of wider cooperation between India and the UK in defence, technology, and trade.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing. 

Published on: Oct 10, 2025, 2:36 PM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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