Eligible Indian professionals working temporarily in the UK may be able to avoid double social security contributions effective from 15 July 2026.
If you work for an Indian company that sends employees to the UK for temporary overseas assignments, a new agreement taking effect on 15 July 2026 can increase your take-home.
The Government of India has announced that eligible Indian professionals posted to the UK may no longer need to contribute to social security systems in both countries at the same time. This matters because duplicate contributions can reduce take-home salary.
How does the new agreement work?
When professionals are assigned to work abroad, they are required to make social security contributions like EPF (Employee Provide Fund) in India as well as SPF (Standard Pension Fund) in the UK. This reduces their take-home income.
To address this issue, India and the UK have designed the Double Contribution Convention (DCC) agreement to prevent eligible Indian professionals from making social security contributions in both countries simultaneously during temporary assignments in the UK. This will come into effect from 15 July 2026.
What does the new arrangement allow?
Under the agreement, eligible Indian employees on temporary assignments in the UK can continue contributing to India’s social security system without making additional contributions in the UK for a specified period.
According to the government, the exemption period will extend up to five years. This could provide greater flexibility for medium term assignments.
What does it mean for you?
The government estimates that more than 75,000 Indian professionals could benefit from the arrangement.
The agreement is expected to be particularly relevant for professionals working in sectors such as information technology, financial services, consulting, and engineering. It could help increase your take-home income.
