Britain Meets India Report 2023

In FY2023, our research has identified more than 635 British companies in India, up from 618 in FY2022. These companies have a combined turnover of approximately INR 48,88.4 billion (£ 51 billion) and employ around 666,992 people.

The report highlights several key takeaways:

• UK micro, small, and medium-sized enterprises (MSMEs) are vital in the UK-India trade relationship, constituting 68% of UK companies in India.
• Rapid growth of UK companies in India, showcasing the robust Indian economy and increased employment contributions.
• Top destinations for UK companies in India: Maharashtra, Delhi NCR, and Karnataka, with technology and business services leading the way.
• Investment flows into India from all over the UK, not just London, indicating broad recognition of India's market potential.

Every year, we track the fastest-growing UK companies in India through our BMI Growth Tracker. To be included, companies must have annual turnover of more than INR 500 million, year-on-year revenue growth of at least 10%, and a minimum two-year track record of filing with the Ministry of Corporate Affairs in India.

In 2023, a record 147 UK companies met these criteria, up from 58 in 2022. This year, 11 UK companies achieved triple-digit turnover growth rates. The average growth rate for the fastest-growing UK companies in India has also increased, from 36% to 46%. Business services continues to be the leading sector for BMI Growth Tracker companies.

This strong growth shows that India is an increasingly attractive investment destination for foreign companies. Despite facing significant global challenges, India remains one of the fastest-growing economies in the world.

India's economy has surged past the UK's to become the fifth largest in the world. This is a remarkable achievement given that India's GDP was only eleventh largest a decade ago.

This growth is being driven by a number of factors, including the government's focus on improving the ease of doing business (EoDB). India has also made significant progress in improving its logistics infrastructure, ranking 38th in the World Bank's Logistics Performance Index (LPI) 2023.

In addition, India has a young and growing population with a median age of 28.2 years. This sizeable, skilled, and young workforce is helping to drive exceptional economic growth.

The Indian government's focus on improving the EoDB and investing in infrastructure, combined with India's young and growing population, is creating a favorable environment for businesses. This is demonstrated by the success of the UK companies shown in the BMI report.

"India continues to increase its attraction as an investment destination for foreign companies. Recent research undertaken by Grant Thornton UK LLP (June 2023) shows that over one-third (36%) of UK business leaders are planning to invest more in growing internationally in the next six months, with 73% of respondents identifying India as a focused international growth market. India is set to become the world’s third-largest economy by 2050, with a bigger population than the US and EU combined."
Pallavi Joshi Bakhru, Partner and India-UK Corridor Leader Grant Thornton Bharat

"It’s fantastic to see even more UK companies thriving in India this year, generating thousands of jobs and delivering significant growth for both our countries. By unlocking barriers to trade and making it easier to sell abroad, we are generating even more opportunities for British businesses in India – which is expected to become the third largest economy by 2035 – and around the world."
Nigel Huddleston MP, International Trade Minister