Celtic Freeport offers a range of tax incentives to help businesses invest with confidence. From relief on property purchases to support for capital investment and job creation, these incentives are designed to make it easier and more affordable for businesses to grow within the Freeport.
National Insurance Contributions
- Employers with a business premises in a Freeport tax site will be able to apply a zero rate of secondary Class 1 NICs on the earnings of new eligible employees who spend 60% or more of their working time in the tax site.
- This rate can be applied on the earnings of all new eligible employees, up to £25,000 per year, for 36 months per employee, where the conditions to claim the relief are met.
- Relief on employer NICs will be available for all new employees who have started their employment between 6 April 2022 and before: 30 September 2034 for Welsh Freeport tax sites
Enhanced Capital Allowances
- Relief available for companies investing in qualifying new plant and machinery assets. This allowance is a 100% enhanced capital allowance (also known as a first-year allowance) for plant and machinery primarily for use in a Freeport tax site.
- This relief will be available from the date tax site designation takes effect, until: 30 September 2034 for Welsh Freeport tax sites
Enhanced Structures and Buildings Allowances
- Relief available to firms constructing or renovating structures and buildings for non-residential use in Freeport tax site. This allowance is based on the existing structures and buildings allowance but will give relief at a higher rate of 10% compared to the existing national rate of 3%.
- This relief will be available from the date tax site designation takes effect, until: 30 September 2034 for Welsh Freeport tax sites
Land Transaction Tax
- Relief is available for the purchase of land and buildings in the Celtic Freeport tax sites from 26 November 2024 to 30 September 2029;
- Transaction land is used in a qualifying manner if it is used in one or more of the following ways:
- used by the buyer or a connected person in the course of a commercial trade or profession,
- developed or redeveloped by the buyer or a connected person for use by any person in the course of a commercial trade of profession,
- exploited by the buyer or a connected person in the course of a commercial trade or profession as a source of rents or other receipts (other than excluded rents and other receipts)
- Relief can be granted to transactions which include both qualifying and non-qualifying land, provided the portion of value of the transaction covering the qualifying land exceeds 10%