Post-Brexit UK to announce 10 new free ports

Post-Brexit UK to announce 10 new free ports

This means there would be no tariffs, import Value-Added Tax or excise to be paid on goods brought into a freeport from overseas until they leave the freeport and enter the UK's domestic market.

"The government has confirmed plans to introduce import controls on European Union goods at the border after the transition period ends on 31 December 2020", a government statement said.

Freeports will unleash the potential of our historic ports, creating jobs and regenerating communities across the UK.

- a full customs declaration would not be required to move goods into a Freeport.

A consultation document suggests the new zones could be open for business in 2021, with the locations announced by the end of this year.

International Trade Secretary Liz Truss added that Britain was "taking back control of our trade policy and opening every corner of the United Kingdom to opportunities across the world".

We want Freeports to deliver a truly UK wide regeneration and jobs boost and the UK Government will work closely with the Scottish Government to achieve this.

BREXIT 2020

Free ports are areas where imported goods can be held or processed free of customs duties before being exported again. Moreover, these areas can be used to import raw materials, produce goods and send them out for export later.

These are creating additional economic activity and investment, encouraging employment in the area, stimulating clusters of innovation, and minimising any routes whereby tax avoidance or evasion could take place if, for example, reliefs are claimed on activities that have not actually taken place in the freeport area. This can reduce relocation or investment costs for existing manufacturing sites near ports.

As a part of the Post-Brexit strategy, the government is also considering tax measures that will be able to potentially increase investment in infrastructure, machinery, and construction industries "nesting" in free ports to enhance productivity.

Innovative environments to trial new technologies.

Incentivise research to stimulate innovation in Freeports.

"Ports handle 95% of the UK's trade, and the association will be putting forward a set of measures that support a variety of models to fit different ports and the industries that rely on them". It could also use tax changes to reduce the costs of hiring workers in free port sites, it said.

After a 10-week consultation, the government will invite "sea, air and rail ports" to bid for the freeport zones on a competitive basis, according to the statement.

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