London’s biggest property companies are urging Jeremy Hunt to restore VAT free shopping for foreign tourists in his Autumn Statement. The London Property Alliance (LPA) has called for a full analysis of the economic impact of restoring tax-free shopping, which was abolished in 2021. The LPA argues that the capital is losing ground to its European rivals due to the lack of tax-free shopping, citing a 17% decrease in spending by Gulf visitors to Bond Street, Regent’s Street, and Oxford Street compared to 2022. The duty-free perk allowed tourists from outside the EU to claim back their VAT, making goods 20% cheaper. The Treasury argues that reinstating tax-free shopping would cost up to £2 billion a year in lost taxes and mainly benefit central London.
Source Standard.co.uk
