Tata Consultancy Services (TCS), India’s leading IT company, has announced plans to create 5,000 new jobs in the UK over the next three years. This expansion will increase TCS’s UK workforce to 27,000 employees, representing about 5% of its global workforce of over 600,000.
The move comes as trade ties between India and the UK continue to grow, with Indian IT services firms seeking to capitalize on the opportunities presented by this collaboration. Many of the UK’s largest corporations already rely on Indian IT suppliers for outsourcing, highlighting the significant presence of these companies in the corporate sector.
Jason Stockwood, UK Government Minister for Investment, said:
“As a valued investor for the UK, Tata Group and its companies like TCS are central to this mission, which will ultimately create jobs, put money in people’s pockets, and deliver economic growth across both countries.”
Despite their strong presence in the private sector, Indian IT suppliers have traditionally had limited engagement with the UK public sector due to concerns over offshoring, potential backlash, and data security. However, companies like TCS now operate extensive UK-based infrastructures and are increasingly targeting public sector contracts.
Amit Kapur, TCS’s UK country head, told Computer Weekly last year that there is “potential, paucity, and action” in the public sector, with “good engagement” between TCS and UK government departments.
A recent Oxford Economics report commissioned by TCS highlights the company’s economic impact in the UK. Contrary to perceptions that Indian IT firms reduce local employment, the study found that TCS supports 42,700 jobs across 19 UK sites, either directly or through its supply chain, with 15,300 employees in technology roles such as engineering and data analytics.
In 2024, TCS contributed £3.3 billion to the UK economy and generated over £780 million in tax contributions. Its public sector clients include the
Department of Work and Pensions, the Department for Education, BBC, pension provider Nest, and Cardiff City Council.
Other Indian IT firms are also expanding their UK footprint. Infosys recently secured a £1.2 billion, 15-year HR services contract with the NHS, while
Hexaware, a tier-two supplier, opened a new office in London’s Canary Wharf to pursue public sector opportunities.
Nick Mayes, principal analyst at PAC, commented on TCS’s UK expansion:
“This latest investment reinforces TCS’s position as the leading provider of critical digital services in the UK. The company serves a diverse portfolio of clients across sectors including financial services, retail, manufacturing, life sciences, and public services.”
TCS’s ongoing growth in the UK not only strengthens its global footprint but also underscores the increasing collaboration between India and the UK, supporting jobs, innovation, and economic growth across both countries.
Source: Computer Weekly
