UK and India: New Social Security Agreement - Key Points Every Employer and Employee Should Know

ASESA Solutions Ltd - UK and India: new social security agreement - Key Points Every Employer and Employee Should Know

The UK–India Double Contributions Convention (DCC) introduces several important rules beyond temporary assignments. Here are the key points to remember.

1. Existing Overseas Assignments

Employees who were already working abroad before 15 July 2026 are subject to special transition rules. They do not automatically qualify for the new 60-month temporary assignment provisions.

2. Certificates of Coverage

Employees remaining in their home country's social security system should obtain a Certificate of Coverage.

• Employees staying under the UK system obtain the certificate from HMRC.

• Employees staying under the Indian system obtain the certificate from EPFO.

Certificate of Coverage: This certificate confirms that social security contributions are not due in the host country.

3. Special Categories of Workers

Some workers follow different rules:

• Flight and cabin crew generally pay social security based on their home base.

• Government employees and armed forces personnel remain covered by their own country's social security system.

• Workers on vessels at sea are generally covered based on the ship's flag, with certain exceptions depending on where they live and who pays their wages.

4. Voluntary National Insurance

If you're paying Indian social security under the DCC, you cannot also pay voluntary UK National Insurance for the same period.

Final Thoughts

The DCC makes it easier for businesses and employees by ensuring social security is paid in one country at a time. Understanding the rules and keeping the right documents can help avoid unnecessary costs and stay compliant.