UK: Top Brands are pushing back on UK’s plan to end VAT-free shopping

Oct 22, 2020 | VAT Updates

VAT Updates Europe

Following up on our previous article regarding UK’s plan to abolish VAT RES on 31 December, when the Brexit transition period ends, many big brands are trying to reverse this decision. Many Brands such as Mulberry, Charles Tyrwhitt and Hacket, Ted Baker, The White Company, Paul Smith and AIR have written several letters to the chancellor trying to change his mind in ending VAT free shopping in Britain.

The main reason for this is that all these brands see people choosing different destinations than the UK in order to spend their money on VAT free products. Destinations such as Madrid Milan and Paris as  AIR (Association of International Retail) boss Paul Barnes said.

The government’s reasoning behind this decision is that it offered little benefit to many parts of the UK and was inconsistent with international norms.


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