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Changes from 2021 announced including withdrawal of the VAT Retail Export Scheme

  • Duty-free sales will be extended to passengers travelling from GB to the EU, once they have passed security controls at airports, ports, and train stations on international routes, on the same basis as currently applies to passengers travelling to non-EU destinations. Passengers will also be able to purchase duty-free goods on-board planes on international routes, on international train journeys and ships sailing from GB to a destination outside the UK for consumption on-board and to take-away.
  • Personal allowances will be introduced for passengers entering GB from the EU. The government will also significantly increase the current allowances for alcohol for passengers arriving from both EU and non-EU countries. This will allow a reasonable amount of alcohol to be brought into GB, for example, three crates of beer, two cases of still wine and one case of sparkling wine, without the relevant taxes being due. The current levels of allowances will remain for tobacco products and all other goods.
  • Tax-free airside sales to passengers travelling to non-EU destinations, of non-excise goods, under the extra statutory concession will be withdrawn across the UK.

The VAT Retail Export Scheme will be withdrawn in GB.

Source UK Parliament

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