The customs incentives often attract particular interest from businesses – and rightly so. What the modern UK freeport model does well is bring together a range of customs procedures under one roof, simplifying what can otherwise be a complex landscape.
At UK freeports, three customs benefits are available:
- Duty suspension – bring goods into a freeport customs site without immediately paying import duty or VAT.
- Duty inversion – pay duty on the final product if the rate is lower than the component parts.
- Duty exemption – no duty or VAT is payable if goods are brought into a freeport and subsequently re-exported.
These benefits are not just theoretical. In Liverpool City Region Freeport, businesses are already seeing the advantages. A mix of manufacturers and third-party logistics firms are using the model to streamline supply chains and add value for clients. Seven customs sites have now been designated across the region, showing the scale of opportunity when businesses meet HMRC’s criteria for security, traceability and compliance.
For those it suits, the benefits are significant – helping firms cut costs, improve efficiency and compete globally.
We’re ready to work with businesses to unlock similar opportunities for South Wales.
If you’d like to explore how customs benefits could support your business, get in touch with us.
