India-U.K. DCC not applicable to Indians working in the U.K. before July 15

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The India-U.K. Double Contributions Convention (DCC), allowing temporary Indian and British workers an exemption from paying social security contributions in their host countries for 60 months, is not retrospective, i.e., it will not apply to Indians already working in the U.K. and Britons working in India before July 15 2026.

The DCC came into effect on Wednesday (July 15, 2026) alongside the India-U.K. Comprehensive Economic and Trade Agreement (CETA). Normally, temporary foreign workers – called “detached workers” in the U.K. - are exempt from U.K. social security contributions known as National Insurance (NI) for the first 12 months. The India U.K. DCC has increased this exemption from 12 to 60 months for detached workers.

However, guidance issued by the U.K. clarifies that individuals already working in the U.K. immediately before Wednesday are not considered “detached workers” under the DCC and are hence subject to UK law on social security contributions.

NIC is paid by both the employee and employer, normally. The employee could pay up to  8% of gross salary generally and the employer up to 15% of gross salary as NI contributions.

“Employees from India sent to work temporarily in the U.K. by their Indian employer, who are already working in the UK immediately before 15 July 2026 (part way through 52 weeks of exemption from UK National Insurance contributions) will not be detached workers under the DCC,” guidance from His Majesty’s Revenue and Customs (HMRC) says.

“These employees will become subject to U.K. social security legislation from July 15 2026, and will be liable to pay U.K. National Insurance contributions,” says HMRC.

The DCC applies only to employees arriving in the U.K. on or after Wednesday (July 15, 2026) and who are not expected to remain in the U.K. for more than 60 months. These individuals are subject to India’s social security legislation (and not the U.K.’s ).

“The employees and their employers will not have to pay U.K. National Insurance contributions,” HMRC says. It adds that in these cases those seeking an exemption should get a “certificate of coverage” from India’s Employees’ Provident Fund Organisation (EPFO) as evidence that they are making social security contributions in India and are exempt from UK NI contributions.

The corresponding situation holds for Britons working in India.

Published - July 15, 2026 05:03 pm IST