Study highlights Indian Migrants’ Lasting Impact on UK Economy

New white paper reveals how Indian migration transformed Britain’s economy, while challenging anti immigration narratives with evidence.

Study Highlights Indian Migrants’ Lasting Impact on UK Economy

Indians are now the largest group on the skilled worker pathway.

A new white paper argues that Indian migration has been central to Britain’s economic survival, challenging political narratives that increasingly portray migration as a strain on national resources.

Published in London in February 2026, the report from the Aston India Centre at Aston University reframes Indian migration as a defining modern British story.

Titled “Migration of the Indian Diaspora to the UK,” the study was authored by Professors Sangeeta Khorana and Pawan Budhwar, alongside Manish Tiwari.

The researchers argue Indian migrants have continually helped Britain rebuild, adapt and prosper since the Second World War, strengthening both economic resilience and long-term social cohesion.

The report identifies four major waves of migration, each closely tied to moments when Britain faced labour shortages, structural economic change or demographic pressures.

The first wave began during post-war reconstruction in the 1940s, when Britain urgently needed workers across transport, manufacturing and public services to rebuild damaged industries.

Commonwealth migration rules allowed Indians to arrive without visas, and many filled roles avoided by local workers, helping stabilise key sectors facing severe staffing shortages.

A second wave followed the 1972 expulsion of Ugandan Asians, many holding British passports, who resettled and built thriving businesses in cities such as Leicester and Birmingham.

Family reunion routes expanded communities further, with migrant entrepreneurs revitalising high streets and establishing commercial networks that became pillars of local economies.

During the 1990s, a third migration phase aligned with globalisation, as Indian professionals entered Britain’s expanding services economy, particularly in IT, hospitality, transport and manufacturing.

This period reflected India’s emergence as a global technology and services powerhouse, while Britain benefited from skilled and semi-skilled workers supporting economic transition away from heavy industry.

The fourth wave intensified after Brexit and the Covid pandemic, when declining EU migration created labour gaps increasingly filled by Indian nationals through new skilled worker visa routes.

Indians are now the largest group on the skilled worker pathway, accounting for around 16 per cent of professionals within the National Health Service and 13 per cent of the technology workforce.

Since 2019, highly skilled migrants have launched businesses in artificial intelligence, fintech and life sciences, driving innovation across regional economies rather than concentrating solely in London.

The report also highlights wealth creation, noting British Indians are now the UK’s wealthiest ethnic group by median net worth.

Beyond economics, researchers emphasise cultural influence, arguing Indian communities have expanded Britain’s culinary traditions, arts, festivals and civic participation, strengthening what they describe as national social capital.

Professor Budhwar said the study provides evidence-based analysis showing the Indian diaspora contributes significantly to Britain’s economy, culture and society, rejecting claims migrants are a burden.

The authors call for a smarter migration strategy that aligns visa systems with employer demand and introduces mutual recognition of qualifications between the UK and India.

They also recommend joint regulatory cooperation and assessment clinics with employers to speed recruitment while ensuring skilled workers are matched effectively with Britain’s evolving labour market needs.

By linking migration history with economic necessity, the white paper argues Indian migration is not accidental but repeatedly connected to moments when Britain needed skills, labour and entrepreneurial energy most.

Managing Editor Ravinder has a strong passion for fashion, beauty, and lifestyle. When she's not assisting the team, editing or writing, you'll find her scrolling through TikTok.





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