Indian Prime Minister Narendra Modi is in the UK amid reports that the two countries will announce a landmark free trade deal.

Modi is expected to sign the long-awaited deal on Thursday, which will cut tariffs on goods and increase market access for both countries.

He is also set to hold talks with Prime Minister Keir Starmer and meet King Charles before departing for the Maldives.

The India-UK free trade deal comes after nearly three years of negotiations and amid turmoil sparked by US President Donald Trump’s threat of added tariffs.

Negotiations on the deal concluded in May and the pact is expected to boost bilateral trade by an additional £25.5bn a year by 2040. Last year, trade between the UK and India totalled £42.6bn.

But it might take at least a year for the deal to come into effect after it is approved by the UK parliament. The deal was okayed by Indian cabinet earlier this week, news agency PTI reported on Tuesday.

In May, Modi said the deal was a historic milestone that was “ambitious and mutually beneficial”.

The pact would help “catalyse trade, investment, growth, job creation, and innovation in both our economies”, he said in a post on social media platform X.

On Wednesday, Mr Starmer called the “landmark” deal a major win for Britain.

“It will create thousands of British jobs across the UK, unlock new opportunities for businesses and drive growth,” he said.

The deal will make it easier for UK firms to export whisky, cars and other products to India, and will cut taxes on India’s clothing and footwear exports.

Indian manufacturers are also expected to gain access to the UK market for electric and hybrid vehicles.