"So it is a really important, significant day."
The UK and India have agreed a major trade deal that will slash tariffs on key products and boost the UK economy by £4.8 billion.
The “ambitious” deal will cut tariffs on whisky, gin, medical devices, and cosmetics.
It will also increase bilateral trade by £25.5 billion and raise wages by £2 billion a year, the UK government said.
Sir Keir Starmer called it a “historic day for the United Kingdom and for India”.
He said: “This is the biggest trade deal that we, the UK, have done since we left the EU.
“And it’s the most ambitious trade deal that India has ever done. And this will be measured in billions of pounds into our economy and jobs across the whole of the United Kingdom.
“So it is a really important, significant day.”
Indian Prime Minister Narendra Modi also praised the agreement.
In a post on X, he said it was a “historic milestone” and added: “I look forward to welcoming PM Starmer to India soon.”
The government said 90% of tariff lines would be reduced under the deal, with 85% becoming tariff-free within ten years.
Whisky and gin tariffs will fall from 150% to 75% immediately, then to 40% by year ten. Automotive tariffs will drop from over 100% to 10% under a quota system.
Indian consumers will see reduced costs on cosmetics, salmon, lamb, chocolate, soft drinks, and electrical goods.
UK shoppers could benefit from cheaper prices on clothes, footwear, and frozen foods like prawns.
Business and Trade Secretary Jonathan Reynolds said: “By striking a new trade deal with the fastest-growing economy in the world, we are delivering billions for the UK economy and wages every year and unlocking growth in every corner of the country, from advanced manufacturing in the North East to whisky distilleries in Scotland.
“In times of global uncertainty, a pragmatic approach to global trade that provides businesses and consumers with stability is more important than ever.”
The UK also managed to sign the deal before the US, something likely to be promoted by Downing Street as a sign of international leadership.
Shadow Trade Secretary Andrew Griffith welcomed the deal but was critical of the government’s domestic policies.
He said: “It’s good to see the government recognise that reducing cost and burdens on businesses in international trade is a good thing, and that thanks to Brexit we can do.
“But it would be even better if they would apply the same reasoning to our domestic economy, where they remain intent on raising taxes, energy costs and regulatory burdens.”
The British Chamber of Commerce said the agreement was a “welcome lift for our exporters”.
William Bain, Head of Trade Policy, said: “Against the backdrop of mounting trade uncertainty across the globe, these tariff reductions will be a big relief.
“Products from Scotch whisky to clothing will benefit and this will give UK companies exporting to India a clear edge on increasing sales.
“The proposals for a follow-up investment treaty will also provide a solid platform to grow manufacturing and other sectors in our two economies.”
Negotiations restarted in March after years of delays under the previous government. Talks had stalled over issues such as visa access and trade standards.
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