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| Tory Brexiters contradict Badenoch criticism of UK-India trade deal | Tory Brexiters contradict Badenoch criticism of UK-India trade deal |
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| Senior Conservatives praise deal and say tax exemptions for seconded workers are routine | Senior Conservatives praise deal and say tax exemptions for seconded workers are routine |
| A series of senior Conservatives have contradicted Kemi Badenoch after she criticised a landmark UK-India trade deal because it temporarily exempts seconded Indian workers from national insurance payments in the UK. | A series of senior Conservatives have contradicted Kemi Badenoch after she criticised a landmark UK-India trade deal because it temporarily exempts seconded Indian workers from national insurance payments in the UK. |
| Tories including Oliver Dowden, who was deputy prime minister under Rishi Sunak, said the deal should be hailed as a dividend of Brexit that would bring economic growth and cheaper goods from India. | Tories including Oliver Dowden, who was deputy prime minister under Rishi Sunak, said the deal should be hailed as a dividend of Brexit that would bring economic growth and cheaper goods from India. |
| The deal was announced on Tuesday after more than three years of negotiations. It cuts tariffs on a series of goods and will add an estimated £4.8bn a year to the UK economy by 2040. | The deal was announced on Tuesday after more than three years of negotiations. It cuts tariffs on a series of goods and will add an estimated £4.8bn a year to the UK economy by 2040. |
| In an initial response, the shadow trade secretary, Andrew Griffith, praised it, saying it showed the government recognised “that reducing cost and burdens on businesses in international trade is a good thing, and that thanks to Brexit, we can do”. | In an initial response, the shadow trade secretary, Andrew Griffith, praised it, saying it showed the government recognised “that reducing cost and burdens on businesses in international trade is a good thing, and that thanks to Brexit, we can do”. |
| But later on Tuesday the tone changed, with Robert Jenrick, the shadow justice secretary – who regularly roams beyond his brief – tweeting that the national insurance exemption, which applies mutually to seconded UK workers in India, showed that “British workers come last in Starmer’s Britain”. | But later on Tuesday the tone changed, with Robert Jenrick, the shadow justice secretary – who regularly roams beyond his brief – tweeting that the national insurance exemption, which applies mutually to seconded UK workers in India, showed that “British workers come last in Starmer’s Britain”. |
| Badenoch, the party leader, soon followed suit, saying in a tweet that this was “two-tier taxes from two-tier Keir”. | Badenoch, the party leader, soon followed suit, saying in a tweet that this was “two-tier taxes from two-tier Keir”. |
| But several influential Tories and figures from the pro-Brexit camp pointedly disagreed, noting that such opt-outs for seconded workers, which prevent double taxation, were routine in trade deals and had featured in some negotiated under the Conservatives. | But several influential Tories and figures from the pro-Brexit camp pointedly disagreed, noting that such opt-outs for seconded workers, which prevent double taxation, were routine in trade deals and had featured in some negotiated under the Conservatives. |
| Dowden, who is still an MP, welcomed the deal, writing on X that it “builds on significant progress made by [the] previous Conservative government”. | Dowden, who is still an MP, welcomed the deal, writing on X that it “builds on significant progress made by [the] previous Conservative government”. |
| Steve Baker, who dealt with trade as a Brexit minister under Theresa May, wrote: “This deal is great news. It further cements the path which I and others worked so hard to secure … The tax issue will likely turn out to be a red herring. We should be celebrating that a Labour government has furthered free trade in the national interest outside the EU.” | Steve Baker, who dealt with trade as a Brexit minister under Theresa May, wrote: “This deal is great news. It further cements the path which I and others worked so hard to secure … The tax issue will likely turn out to be a red herring. We should be celebrating that a Labour government has furthered free trade in the national interest outside the EU.” |
| Another leading Tory Brexiter, Jacob Rees-Mogg, who was business secretary under Liz Truss, tweeted: “Cheaper food and drink including rice and tea, footwear and clothing thanks to a welcome trade deal with India. Exactly what Brexit promised.” | Another leading Tory Brexiter, Jacob Rees-Mogg, who was business secretary under Liz Truss, tweeted: “Cheaper food and drink including rice and tea, footwear and clothing thanks to a welcome trade deal with India. Exactly what Brexit promised.” |
| Praise for the deal – and scepticism about Badenoch’s view – also came from some influential Brexit campaigners. In an opinion piece for the Telegraph, Daniel Hannan, a Tory former MEP who is now a peer, wrote that the UK had “pulled off something that no other country has, at least not on anything like the same scale”. | Praise for the deal – and scepticism about Badenoch’s view – also came from some influential Brexit campaigners. In an opinion piece for the Telegraph, Daniel Hannan, a Tory former MEP who is now a peer, wrote that the UK had “pulled off something that no other country has, at least not on anything like the same scale”. |
| Noting that some people had criticised the deal based on the tax issue and worries about its impact on migration and apparently uneven tariff reduction, he wrote: “All three are nonsense.” | |
| Shanker Singham, a pro-Brexit trade economist who advised Liam Fox when he was international trade secretary, wrote on X: “This is a significant achievement for UK trade policy. If the UK can lock in a deal with the US, it will be one of the few countries with deals with the key trade players.” | Shanker Singham, a pro-Brexit trade economist who advised Liam Fox when he was international trade secretary, wrote on X: “This is a significant achievement for UK trade policy. If the UK can lock in a deal with the US, it will be one of the few countries with deals with the key trade players.” |
| He approvingly retweeted a post from another trade expert who pointed out that in 2012 under the Conservative-Liberal Democrat coalition, a UK-Chile trade deal exempted seconded Chilean workers from UK national insurance contributions for five years – compared with three years in the India deal. | He approvingly retweeted a post from another trade expert who pointed out that in 2012 under the Conservative-Liberal Democrat coalition, a UK-Chile trade deal exempted seconded Chilean workers from UK national insurance contributions for five years – compared with three years in the India deal. |
| Defending the deal on Wednesday, the business secretary, Jonathan Reynolds, said he expected that the deal overall would bring a net contribution to tax revenues, not a deficit. | Defending the deal on Wednesday, the business secretary, Jonathan Reynolds, said he expected that the deal overall would bring a net contribution to tax revenues, not a deficit. |
| “This is not a tangible issue,” he told Sky News. “This is the Conservatives – and Reform – unable to accept that this Labour government has done what they couldn’t do and get this deal across the line.” | “This is not a tangible issue,” he told Sky News. “This is the Conservatives – and Reform – unable to accept that this Labour government has done what they couldn’t do and get this deal across the line.” |