A UK Home Office spokesperson said: "On 3 February the Secretary of State, having carefully considered all relevant matters, signed the order for Vijay Mallya's extradition to India.
"Vijay Mallya is accused in India of conspiracy to defraud, making false representations and money laundering offences."
Mallya is on bail on an extradition warrant executed by Scotland Yard in April 2017 after the Indian authorities brought fraud and money laundering charges amounting to Rs 9,000 crores against the former Kingfisher Airlines boss.
Sources in the government said it has taken note of Mallya's extradition order and welcomed the UK government's decision. "We have taken note of the decision of the UK Home Secretary to sign on the order for Vijay Mallya's extradition to India. While we welcome the UK Government's decision in the matter, we await the early completion of the legal process for his extradition," they said.
Union Minister Arun Jaitley, who is in the US for treatment of an unstated illness, lauded the Narendra Modi government over the development. "Modi Government clears one more step to get Mallya extradited while Opposition rallies around the Saradha Scamsters," Jaitley tweeted.
The UK court had said it was satisfied with the various assurances provided by the Indian government, including a video of the jail cell, which had not only been recently redecorated but was also far larger than the minimum requirement threshold.
However, experts said that Mallya has 14 days time to appeal against his extradition in a higher court.