The U.K. Is Ending Tax-Free Sales Next Year

Excluding alcohol and tobacco.

By
Travel 
9,182 Hypes 7 Comments

There’s more bad news for the U.K. aviation sector as it has just been confirmed that tax-free shopping in the U.K. will end on December 31.

On top of dealing with the negative effects of COVID-19, the U.K. government has posed a new regulation that states that overseas visitors will no longer be able to receive a VAT refund for items purchased locally and carried on from port in their luggage — this includes the Eurostar. Airports and other retail ports will also no longer be able to sell fashion items, electronics, and cosmetics with the duty-free stamp. Instead, visitors will have to have the items shipped to an overseas address, which with the shipping costs, may result in higher prices.

Excluded from the new set of rules is both alcohol and tobacco, where EU and non-EU travelers can take up to 42 liters of beer, 18 liters of still wine, or four liters of spirits without paying tax. Tobacco is capped at 200 cigarettes or 50 cigars.

U.K. Travel Retail Forum member, Chair Francois Bourienne, commented: “This decision puts the U.K. out of step with travel retail systems around the world, completely disincentivizes tourists to visit the U.K. and British passengers making purchases as they go on vacation abroad, and puts U.K. airports and travel retail at a substantial disadvantage against their European counterparts after Brexit. This will lead to significant additional job losses in the travel industry.”

While jobs will clearly be threatened by this new system, there’s also the economical implications to consider as (pre-COVID-19) it was estimated that the tourism industry would be worth £257 billion GBP in 2025 (10 percent of U.K. GDP). It has also been mentioned that this action will lead to an inbound spending loss of roughly £3.5 billion GBP in tax-free sales for next year.

In other travel news, Korean Air reports a $125M USD quarterly profit despite the Coronavirus travel restrictions.

Read Full Article

Join Our Discussions on Discord

The HYPEBEAST Discord Server is a community where conversations on cultural topics can be taken further.

100 Users Online

What to Read Next

New Era Taps Helmut Lang To Mark Its 100th Year Anniversary
Fashion

New Era Taps Helmut Lang To Mark Its 100th Year Anniversary

Featuring takes on the classic 9FORTY and Low 59FIFTY caps.

Converse Celebrates Latin Heritage Month With its "Mi Gente" Capsule
Footwear

Converse Celebrates Latin Heritage Month With its "Mi Gente" Capsule

Expressing the diversity and vibrancy of Latinx culture.

The Notorious B.I.G.'s Plastic Crown Sells for $600K USD at Sotheby's "Hip-Hop" Auction
Music

The Notorious B.I.G.'s Plastic Crown Sells for $600K USD at Sotheby's "Hip-Hop" Auction

Drake’s unreleased OVO x Air Jordan IV sold for $32,000 USD as well.


Nine Inch Nails Release 'Quake' Video Game Soundtrack on Vinyl For the First Time
Music

Nine Inch Nails Release 'Quake' Video Game Soundtrack on Vinyl For the First Time

Reznor and Ross’ ‘The Social Network’ soundtrack also gets a “Definitive Edition” vinyl release.

Nintendo Confirms 'Super Mario Bros.' Film Set for 2022
Entertainment

Nintendo Confirms 'Super Mario Bros.' Film Set for 2022

Following the loose 1993 live-action adaptation starring Bob Hoskins and John Leguizamo.

Red Lobster's New Official Cocktail Combines Mountain Dew With Tequila
Food & Beverage

Red Lobster's New Official Cocktail Combines Mountain Dew With Tequila

The “Dew Garita” is best paired with Cheddar Bay Biscuits.

More ▾
 
Subscribe to our Newsletter

Gain access to exclusive interviews with industry creatives, think pieces, trend forecasts, guides and more.

By subscribing, you agree to our Terms of Use and Privacy Policy.

Help us serve you better

We appreciate your support in allowing HYPEBEAST ads, where we can share contents from the latest fashion, to those culturally relevant. In adding HYPEBEAST to your ad blocker's whitelist, ads on our sites will show while you continue to browse.

Help Support Us

We need ads to keep the lights on and to continue providing free news to our readers. We’d appreciate your support by whitelisting HYPEBEAST on your ad blocker. That way you can keep reading all the great stories for free.

If you have already whitelisted us, simply refresh this page. To find out how to whitelist us, click the button below.

Back

Add Us to Whitelist

We appreciate your support in allowing HYPEBEAST ads. Most ad blockers have similar whitelisting steps and settings. If you need assistance, please contact us.

Adblock Plus

  1. Click on the red ABP icon in the upper right corner of your browser.
  2. Click “Enabled on this site” to disable ad blocking for the current site. In Firefox click “disable on HYPEBEAST”.
  3. Refresh the HYPEBEAST page that you were viewing.

Adblock

  1. Click the AdBlock hand icon.
  2. Click “Don’t run on pages on this domain”.
  3. A new “Don’t run AdBlock on…” dialog may be displayed in the middle of the screen.
  4. Move the “Site” slider to the right. After that, click “Exclude”.
  5. Refresh the HYPEBEAST page that you were viewing.

uBlock

  1. Click the uBlock icon.
  2. Click the large blue “power” button in the menu that appears to whitelist the current website.
  3. Reload the HYPEBEAST page that you were viewing.

Firefox Browser

Firefox Tracking Protection may activate our whitelist notice, which can be disabled temporarily for a browsing session by clicking the shield icon in the URL bar and following the instructions.

Disconnect

  1. Click the Disconnect icon.
  2. Click “Whitelist site”.
  3. Refresh the HYPEBEAST page that you were viewing.